Alright so I flashed just the system.img with the srt 1.2.3 and had no problems what so ever your tool works great. I have to reinstall my launcher lol. But no biggy just glad I can help. The only thing I can think of that I might be doing different than other people is when I unzip the tool I unzip it to the /sdk/platform-tools folder. For the people who said that the tool can't find the sys img. I don't think they are unzipping the zip file but running it from the zip file. Just a thought.
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Sent from my KFTT using XDA Premium HD app