Error while running "rails shovell"

I have just installed rails thru Curt H. installment file
(InstantRails 1.3a zip).
I am trying to create the required directories for a demo application
named “shovell”.
I opened the ruby console and I ran “rails shovell”

I get the following errors.

“C:/InstantRails/ruby/lib/ruby/gems/1.8/gems/activesupport -2.3.2/lib/
active_support/vendor.rb:5: undefined method ‘gem’ for
main:object ,noMethodError>
from C:/InstantRails/ruby/lib/ruby/site_ruby/1.8/rubygems/
custom_require.rb:21:in ‘require’
from c:/” …etc