DeInterlacing live video

[rodneyb]

I have an A/V USB capture stick feeding in an s-Video signal from a set top box. Using the DSVdeoCapture demo application the television image displays nicely except for the lack of deinterlacing. Whenever the subjects in the image move, the interlaced lines can easily be seen. From what I've read it seems that I need a de-interlace filter to smooth out the effects.
1) Does VideoLab come with such a filter?
2) How do I modify the DSVdeoCapture demo application to include de-Interlacing so that the video ends up smooth when motion is occuring?
I would REALLY appreciate some guidance with this.
Thanks
-Rod