Lungif. compile problems.

What is this thing. I understand it must be some sort of ".GIF" file proscessor. (I am not a programmer by nature). Everytime I do a batch build I get 10 warnings and 1 error out of it and thats on a clean HEAD version.

Is this thing nesacary? Does torque use GIF files.
If its not nesacary how can I remove it from my build proccess and eliminate it all together? Or if it is needed in the engine how can I get it working and eliminate the warnings and errors.

If you need the errors let me now I will post them.

Thanks in advance
Matt