Ok. Lastnight I sat here until I figured it out and I did. I got the flashchat users (who's online) to work and now you can display it in the 'Who's Online' block in the forum and in a block on the portal. I will list how to do both. There is a bit more I would like to do with this and i'm just not proficient enough in mysql and php to do it so maybe someone can help me?
All work based off of v4.7.10 and ICY 1.0.11.11 RC
REMEMBER to back up your files!
First the block creation:
1. Create Text/HTML block and give it the settings you want.
2. Now insert this into the Text/Html section:
<iframe height="100" frameborder="0" src="chat/info_embedded.php" style="width: 100%; margin: 0; padding: 0; border: 0; overflow: hidden;" scrolling="no" border="0" allowtransparency="true"></iframe>
Note: src="chat/info_embedded.php" the src path needs to be the correct path from root to info_embedded.php.
3. Save your your work and refresh the portal and it should be working.
Example screenshot:

Now the Who's Online Block in the forum area:
1. Yes you could just use the block we created but some people may not want too and I think it looks pretty good in there anyway.
2. Locate your index_body.tpl and make the following changes:
FIND
<tr>
<td class="row1" valign="middle">
<span class="gensmall">
{L_ONLINE_EXPLAIN}<br />
{TOTAL_USERS_ONLINE}<br />
{LOGGED_IN_USER_LIST}<br />
{BOT_LIST}
</span>
</td>
</tr>
<tr>
<td class="row1">
<span class="gensmall">
{L_Online_today}<br />
{L_USERS_TODAY} {L_USERS_LASTHOUR}<br />
{ADMINS_TODAY_LIST}<br />
{MODS_TODAY_LIST}<br />
{USERS_TODAY_LIST}<br />
</span>
</td>
</tr>
<td class="row1" valign="middle">
<span class="gensmall">
{L_ONLINE_EXPLAIN}<br />
{TOTAL_USERS_ONLINE}<br />
{LOGGED_IN_USER_LIST}<br />
{BOT_LIST}
</span>
</td>
</tr>
<tr>
<td class="row1">
<span class="gensmall">
{L_Online_today}<br />
{L_USERS_TODAY} {L_USERS_LASTHOUR}<br />
{ADMINS_TODAY_LIST}<br />
{MODS_TODAY_LIST}<br />
{USERS_TODAY_LIST}<br />
</span>
</td>
</tr>
AFTER, INSERT
<tr>
<td class="row2" align="center"><br>
<font color="blue"><b><u>Adult Live Chat Users Online:</u></b></font>
<iframe height="100" frameborder="0" src="chat/info_embedded.php" style="width: 100%; margin: 0; padding: 0; border: 0; overflow: hidden;" scrolling="no" border="0" allowtransparency="true"></iframe>
</td>
</tr>
<td class="row2" align="center"><br>
<font color="blue"><b><u>Adult Live Chat Users Online:</u></b></font>
<iframe height="100" frameborder="0" src="chat/info_embedded.php" style="width: 100%; margin: 0; padding: 0; border: 0; overflow: hidden;" scrolling="no" border="0" allowtransparency="true"></iframe>
</td>
</tr>
Same as above make sure the 'src=' is the correct path to info_embedded.php. The 'font' line I have in there is to give it a heading so it looks better in the block.
Here is a screenshot:

You can edit the info_embedded.php file to make changes to the actual text that is displayed in the block.
I will make another post for help with my additions to this little mod I guess you can call it.
So enjoy and hey i'm getting a bit better at this php stuff this is getting scary. Now I am a danger to my website

-D1-