LinuxICE is very much compatible with via processors. I test it on my c3 m10000 board.
some of the buttons won't launch until you install and run ice configure. This can be fixed by editing the /usr/share/applications/.deskop file for each of the launcher and replacing "sudo" with "gksudo". This bug was fixed in an update, but since the update server is down, you'll have to do this yourself.
I'm not sure why the install doesn't do anything. Are you sure you downloaded the latest build (linuxice-beta3-4 ?)? Maybe something corrupted while downloading?