So after reading this tread, I discovered that I am not alone. There seem to be two issues here. The first is the lock up, and the second is the assumption that it could be the MM download.
I am expiriencing the cinematic lock ups in the later chapters. I think we ALL are consistantly locking in the same spots. Chapter 10 - After reacing temple foot steps, about 10 seconds in. Chapter 12 - after defeating the two armadillos. About 5 seconds into cutscene, game freezes. Chapter 14 - after using hearts to enter final chamber and fighting through tube. Immediately freezes. You can skip the scenes and play the game, but you cannot defeat the game because of the Dagra Dai cutscene.
I have not downloaded ANY purchased content like the mission modes or costumes, so therefore cannot be due to the purchased downloads. Therefore, I have to attribute the problem to either the most recent mandatory NGII download or the most recent mandatory XBOX360 software update.
I have contacted TECMO and I have not received a response. But they probably have no control . I also have played the game off line and the problems are still present in any mode and any difficulty.