multibbl redefines the \bibliography command to require three, not two, arguments.
The \bibliography command has been redefined to take three required arguments: the first is the name of the auxiliary file, the second is the argument that the standard command has and the third is the the title of the bibliographic section,...
In your code summary the command is only given two arguments, so LaTeX is still scanning for the third argument. Similarly, the other commands, including \nocite require an extra argument.
Here is a minimal working example:

\documentclass{article}
\usepackage{multibbl}
\newbibliography{oneb}
\newbibliography{twob}
\begin{document}
Text
\nocite{oneb}{*}
\nocite{twob}{*}
\bibliographystyle{oneb}{plain}
\bibliography{oneb}{one}{First bib}
\bibliographystyle{twob}{alpha}
\bibliography{twob}{two}{Second bib}
\end{document}
with one.bib containing
@Article{oneart,
author = {Author, O.},
title = {Title One},
journal = {One J.},
year = 2010
}
and two.bib
@Book{twobook,
author = {Author, Two},
title = {Book Two},
publisher = {Multi-publish},
year = 2005
}
Run latex on the main file, then bibtex oneb and bibtex twob, then run latex on the main file again.
However, if I had to produce these multiple types of bibliographies, I would choose biblatex instead, because of its rich feature set.