Just facts:
1) LiteStep modules archive at http://modules.shellfront.org/ isn't up to date
2) New ShellFront site version will show html page when accessing file that does not exist
3) LiteStep (NetLoadModule plugin) required .zip (to continue installation) or nothing (URL not found HTTP header) - to start downloading from the next site. NLM thinks that html page is a queried .zip and trying to extract it
4) of course, extraction failed

So, solution:
a) open your \LiteStep\step.rc
b) comment the line *NetLoadModuleSite "http://modules.shellfront.org/"
c) add ".zip" postfix to the *NetLoadModuleSite "http://www.loose-screws.com/download.php?netloadmodule=" line, i.e. it should be
*NetLoadModuleSite "http://www.loose-screws.com/download.php?netloadmodule=" ".zip"

That's all.