Has anybody successfully restored a SP 3.1 image to a Virtual PC 2007 machine?

I have been unable to get the restored image to boot. I imaged both the Fat partition and the NTFS system partition on a Dell workstation with Windows XP. After restoring the image, the virtual machine will not boot successfully. I have attempted to install both the Fat and NTFS partitions and just the NTFS partition without any luck. I've even restored the MBR and NOT installed the MBR. On one attempt I did actually get to safe mode only to be stopped by an MUP.sys error.

Any suggestions/tips/procedures would be greatly appreciated. 

You should install ShadowProtect (either Desktop or Server edition) on the source machine (the machine you're planning to migrate into the VM) before you image the source machine's OS volume.  Then, during the restore of that OS volume to the VM's disk, you must check the "Hardware Independent Restore" (HIR) checkbox that is part of the restore wizard.