Ok, I didn't have the time to explain how I did it when I posted the demo. Let's see... this is the PRC code I used for the object http://lontahv.googlepages.com/bink_object.prc
made that into a .po file. Imported that into my prp (make sure those locations are correct before compiling though). Made sure that the baseLayer had a valid ref to a plLayer in my prp. That's about it. Oh, I *think* I had to change all the hsGMatState flags for the baseLayer to 0x0 except for the shade flag which was set shadeless.
Then I reffed the plLayerBink as a layer in my material.
Pretty much just my side of the story. Nad told about the same thing. The best thing for any of you folks to do is take a look at the prp example yourselves in PageEditor. This is REALLY easy since I didn't add hundreds of other things that weren't connected to the anim in the prp (like Cyan has in their prps).
I'll leave it up to someone else to write a more detailed tutorial.