I was not really happy with the "New recent comments widget" I got from Tigersyard.com. Just by chance, I came across the "How To Make a Recent Comments Widget on Blogger" on Seanjames Camello aka Shawn Cabacci's blog. It is so simple, I can't believe it.
Check out the list of recent comments on my sidebar. I guess the only disadvantage is that you can only list up to a maximum of five comments.