watch the best motoring 'type R legends' comparison between the 98 spec and the 96 spec ITR's.....then bear in mind the 98 spec is heavier, and has larger heavier wheels.
also have a look at the ITR section of honda-tech.com, 4.7fd is one of the the most highly recommended mods, loads of people have done it and reported on the benefits (usdm ITR's have 96 spec/ek9 ratio's)
a 197hp b18c, with 4.7fd, and 15's.......should, in theory, everything else being equal(ie not heavier than the car you're against and have same hp engines etc), be faster than any b series car honda produced from the factory.
my guess is most people that are stating the s4c is just as good or better have not tried both ratios in the same car. i have, and lots of US ITR owners have aswell, so go and get a look at their opinions aswell rather than than the views of a forum where the majority of users use one particular kind of box.
i'm not saying anyone here is wrong, just the general consensus on here seems different than the overall opinion that i would expect to see on a forum where a lot of posters have done the exact thing you are asking about