Ok I took the time to go through the Old plugin ( WP-Directory) and made it work for my WP 2.6 on my local machine. This plugin is untested on live sites yet. Thats why I am posting it here.
You can grab a copy of the WP-Direct from my website<p>Here
I am making support available for this plugin and sticking with it. (Unlike the other plugin with no support).
So please check it out and download the Plugin and enjoy!!!! :)