Finally I have found what I have spent about 2 months looking for.
An encoder that will :-
1. Read Vob files with AC3 audio
2. Will Batch encode multiple files at once (with out having to set each up one by one!)
3. Has AC3 pass through
4. Dose not mess up the Image size or aspect.
5. Give amazing results
6. It simple to use and easy to tweak.
Thank you to the vid coder team, you have made me very happy. Keep up the good work. and remember if it ain't broken don't try and fix it!