Sidebar Image grid for posts in a catagory

Hi,

Ive been looking for a widget that will display the posts from a catagory as an image grid in the sidebar. This will be used to show the latest releases from our record label.

A similar thing is used on this website: http://www.tokyodawn.net/

Our website in the making is at: http://unwantedsound.co.uk/

Im currently using ‘Image Widget’ to maually display pictures in the sidebar and using this it is possible to link to a post or product but i cant make this display in a grid.

Does anyone know of a plugin that will do this?

Thanks,

Aaron