It's a discontinued feature. All the existing functionality is there, but nothing new will be added. I've just stopped using it because it's buggy.
Yeah, as a warning to the people who might be re-enabling it: there's at least one point (I think it was winning an imp fortress boss fight) where having a companion will lock up the game, at least as of a couple versions ago. I didn't play enough into the main plot again to see if anything else breaks, but anyone using them should save often and try sending your companion home if something stops working.
Anyway, I hope a more polished fan version of this does eventually take off one day. LT is obviously flawed, but it's got the basics of just about everything I look for (rpg, playable monsters, lots of appearance customization, not locked to female-only like PoP appears to be, some follower collecting/customizing, management elements). And it at least looks decent even if the behind-the-scenes stuff sounds messy. There's close-ish alternatives like Teraurge or the Strive games or Lustful Desires that have most of those things, but whatever revamp or LT-alike pops up, I'll definitely be interested.
(I've kinda wanted to try my hand at writing up a couple of "npc with storyline" mods just for fun and to get better at coding, too, but from the sound of it you can't really even do that for LT and adding any characters risks blowing up the game anyway. Maybe someday.)
