Maybe not the best example as the sample can be 'Forced Film'. However, with 'Honor Pulldown Flags' used:
MPEG2Source("Test.d2v")
TFM(D2V="Test.d2v").TDecimate()
Neither way shows the chroma interlacing of your earlier picture.
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In the end want a progressive clip I can open in Premiere pro to use NeatVideo to cleanup the content.
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That's the only reason you're using Premiere? You can use NeatVideo within VDub. Or you can create a lossless AVI for use in Premiere using Lagarith or UT Video Codec or some such.