I think simply editing your hosts to point to cydia will cause the 1004 error and no baseband update. I have tried this with my iPhone 4 and restoring without tiny umbrella but with my hosts changed caused this to work.
However this is not confirmed to work, so do this at your own risk, I take no responsibility if it does not work. I am only suggesting it because you have very little options. You may want to see if anyone else can confirm this first.
edit: whoops, looks like I am late to the party. Good work Yeow.