Moving to Camera Raw forum
What operating system are you using?
Try the newest 9.10.1 dng converter and also set the compatibility to Camera Raw 4.6 and Later and see if the dngs are any better.
It might be necessary for you to download a later version of the DNG converter to have support for the camera. The latest DNG converter version is 10.1.1. Each new version will support additional cameras. But you will need to ensure that you configure the conversion to support the version of Camera Raw that you are able to use.
The conversion from the DNG Converter work (i think so). But the old Photoshop can not read the data correct.
The real Problem is that the old Photoshop CS3 can not make a correction of the picture geometrie.
The Canon G1X need a very big correction, special in the wide angel Photos (I think so).
Were you careful to set the compatibility level of the DNG converter to a version of Camera Raw that is compatible with Photoshop CS3?
yes, I have set it so 4.6 ant for test to 4.1. In Photoshop sc3 I use 4.6.