[Android Software/Hacking General [Developers Only]] ashishpadave:
Running in safe mode

The script is running in safe mode, so I can only move applications.

Here is the log

v/script - Preparing configurations
d/script - Moving property m2sd.enable_reversed_mount='0' into /props/
d/script - Moving property m2sd.enable_sdext_journal='2' into /props/
d/script - Moving property m2sd.enable_swap='0' into /props/
d/script - Moving property m2sd.move_apps='1' into /props/
d/script - Moving property m2sd.move_dalvik='1' into /props/
d/script - Moving property m2sd.move_data='1' into /props/
d/script - Moving property m2sd.no_tmpfs_cache='0' into /props/
d/script - Moving property m2sd.run_sdext_fschk='0' into /props/
d/script - Moving property m2sd.script='1' into /props/
d/script - Moving property m2sd.set_sdcard_readahead='2048' into /props/
d/script - Moving property m2sd.set_sdext_fstype='ext2' into /props/
d/script - Moving property m2sd.set_swap_level='0' into /props/
d/script - /system/bin/servicemanager is running, disabling property /data/property/m2sd.move_dalvik to prepare safe-mode
d/script - /system/bin/servicemanager is running, disabling property /data/property/m2sd.move_data to prepare safe-mode
d/script - /system/bin/servicemanager is running, disabling property /data/property/m2sd.enable_reversed_mount to prepare safe-mode
i/script - The script is running in safe-mode!
v/script - Waiting for sdcard to initiate
d/script - Preparing try number 1 for locating the sdcard
d/script - Checking device type on /sys/block/mmcblk0
v/script - The sdcard device was located at /dev/block/mmcblk0
d/script - The sdcard MM number was located at 179:0
v/script - Setting sdcard readahead to 2048Kb
v/script - Checking sdcard partitions
d/script - Looking for device file /dev/block/mmcblk0p1
v/script - Using /dev/block/mmcblk0p1 as fat32 (sdcard)
d/script - Looking for device file /dev/block/mmcblk0p2
v/script - Using /dev/block/mmcblk0p2 as ext2 (sd-ext)
d/script - Looking for device file /dev/block/mmcblk0p3
d/script - Device file /dev/block/mmcblk0p3 does not exist
d/script - File system check is disabled, skipping
v/script - Setting optimized mount parameters on sd-ext
d/script - Starting mount operating on sd-ext
d/script - Trying to mount sd-ext as ext2 on /sd-ext with options 'noatime,nodiratime,relatime,noauto_da_alloc,data=ordered,commit=15,barrier=1,nouser_xattr,errors=continue,nosuid,nodev'
d/script - Shell Error Message: [mount: mounting /dev/block/mmcblk0p2 on /sd-ext failed: Invalid argument ...]
d/script - The sd-ext partition could not be mounted. Trying again with different mount options
d/script - Trying to mount sd-ext as ext2 on /sd-ext with options 'noatime,nodiratime,relatime,nosuid,nodev'
d/script - The sd-ext partition was mounted, now testing writeable state
v/script - The sd-ext partition was mounted successfully at /sd-ext
d/script - Safe-mode detected, creating temp symlinks between /sd-ext/app(-*) and /data/app(-*)
v/script - Preparing to move content between /data and /sd-ext
d/script - Function: Creating folder /sd-ext/app!
d/script - Function: Changing permissions on /data/app to system.system:0771!
d/script - Function: Changing permissions on /sd-ext/app to system.system:0771!
d/script - Looking in /data/app to see if something should be moved into /sd-ext/app
v/script - Moving content from /data/app to /sd-ext/app
d/script - The size of /data/app is 7Mb. Comparing it to the remaining spaze on /sd-ext which is 1786Mb
d/script - Function: Creating folder /sd-ext/app-private!
d/script - Function: Changing permissions on /data/app-private to system.system:0771!
d/script - Function: Changing permissions on /sd-ext/app-private to system.system:0771!
d/script - Looking in /data/app-private to see if something should be moved into /sd-ext/app-private
d/script - Function: Creating folder /sd-ext/app-system!
d/script - Function: Changing permissions on /data/app-system to 1000.1000:0771!
d/script - Function: Changing permissions on /sd-ext/app-system to 1000.1000:0771!
d/script - Looking in /data/app-system to see if something should be moved into /sd-ext/app-system
d/script - Looking in /sd-ext/amit to see if something should be reverted back to /data/amit
d/script - Looking in /sd-ext/audioprop to see if something should be reverted back to /data/audioprop
d/script - Looking in /sd-ext/radio to see if something should be reverted back to /data/radio
d/script - Looking in /sd-ext/dontpanic to see if something should be reverted back to /data/dontpanic
d/script - Looking in /sd-ext/resource-cache to see if something should be reverted back to /data/resource-cache
d/script - Looking in /sd-ext/drm to see if something should be reverted back to /data/drm
d/script - Looking in /sd-ext/data to see if something should be reverted back to /data/data
d/script - Looking in /sd-ext/dalvik-cache to see if something should be reverted back to /data/dalvik-cache
d/script - Looking in /sd-ext/property to see if something should be reverted back to /data/property
d/script - Looking in /sd-ext/misc to see if something should be reverted back to /data/misc
d/script - Looking in /sd-ext/system to see if something should be reverted back to /data/system
d/script - Looking in /sd-ext/local to see if something should be reverted back to /data/local
d/script - Looking in /sd-ext/tombstones to see if something should be reverted back to /data/tombstones
d/script - Looking in /sd-ext/secure to see if something should be reverted back to /data/secure
d/script - Safe-mode detected, cleaning up some unused symlinks
v/script - Attaching /sd-ext/app to /data/app
d/script - Safe-mode detected, cleaning up some unused symlinks
v/script - Attaching /sd-ext/app-private to /data/app-private
d/script - Safe-mode detected, cleaning up some unused symlinks
v/script - Attaching /sd-ext/app-system to /data/app-system
v/script - Optimizing the internal nand partitions
d/script - Located the device /dev/block/mtdblock1 belonging to /system
d/script - Located the device MM number 31:1 belonging to /system
v/script - Setting system nand readahead to 4kb
v/script - Setting optimized mount parameters on system
d/script - Located the device /dev/block/mtdblock9 belonging to /data
d/script - Located the device MM number 31:9 belonging to /data
v/script - Setting data nand readahead to 4kb
v/script - Setting optimized mount parameters on data
d/script - Located the device /dev/block/mtdblock8 belonging to /cache
d/script - Located the device MM number 31:8 belonging to /cache
v/script - Setting cache nand readahead to 4kb
v/script - Setting optimized mount parameters on cache
v/script - Looking for new system apps in /data/app-system to link to /system/app
d/script - Running S-On test on /system
d/script - Checking SWAP partition and SWAP settings
d/script - Handling the Cache partition and it's settings
d/script - The cache stettings are set to auto and internal cache storage is 63Mb, leaving cache untouched
v/script - Executing the final steps of the script
d/script - Examining how to handle /data/data/com.android.providers.downloads/cache
v/script - Attaching /data/data/com.android.providers.downloads/cache on /data@providers.downloads@cache
v/script - Changing permissions on /data/local/tmp
v/script - Attaching /data/local/tmp on /sd-ext/data@local@tmp
d/script - Looking for the sqlite3 binary to change the storage threshold
v/script - Storage threshold is set to 1%

I used Minipartition to create a ext2 partition.

Running the AOKP ICS ROM on a LG optimus One, it has init.d support.

Thanks