I think Black Magic was something else entirely, and that's what caused the project to grind to a halt (the member who had Black Magic disappeared, or something, I think).

What you're talking about is basically taking 3 different captures of the same source, then lining them up together and running them through a program that removes things that are different between each capture. This reduces problems caused by capturing an analog medium.

I believe this can be done in AviSynth.

Again, I'm not too knowledgeable about the whole filtering thing, so I'm not really sure if anything I just said is accurate.