Yes, I have done it.
BUT...
I have a 60GB USB hard drive with about 17GB of games on it. Since Ghost cannot read the volume information it had to image the whole 60GB drive. I didn't have 60GB free on my local drive so I imaged it to a network drive.
I then formatted the drive to NTFS. I used Ghost to restore the image. It took over 4 hours (from a networked drive) and resulted in an error at the end of the process. Still the drive now lists all of the games, and I was even able to extract one. I haven't tried it again with the USB loader yet.
So I would say it works, but it's not ideal...