I found the problem with my crapola not working.
fatls mmc 1 was listing down my Music folder off my eMMC. What the actual ****? It might be because of damaged fat32 though.
Moved bootmenu files to ~/MyDocs/Music/ and it worked.

Would probably still be banging rocks together if not for the Gumstix wiki.

On a side note, it doesn't boot last selected entry, which may be undesirable for those who have ext4 /home who want to use this as daily part of booting. EDIT2: fixed that last part. Made a kp49+fmg's SR fixes COMBINED.BIN image. Anybody else want it?