mk_1 has converted to the irrlicht religion lately. so ask him, he's already got some playable results.
beside the fact that the lower pic looks ugly (but i assume this was intended to see the spec-nm better), the 1st one is quite nice at first glance. at second glance, you couldn't (yet) fix the model self shadowing error, did you (black triangle artifacts at the guard's ass and back)... too bad.
PS: you taskbar is damn overcrowded...