the version of the HotPot that you downloaded requires Moodle 1.7. It won't run on Moodle 1.6, I'm afraid.
Are you sure you want to upgrade to Moodle 1.7? It is not a stable release yet, so I don't recommend using it on a live site.
If possible, I recommend you upgrade you site to the latest version of Moodle 1.6, currently 1.6.3+. That will give you the latest version of the Hotpot module, and you will get many other small improvements to other parts of Moodle too.
You can get Moodle 1.6 (and Moodle 1.7 for that matter) from the Moodle downloads page.
More information about upgrading is available here:
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