Most probably that ksh is not installed by default. But that should not be a reason for RedHat not booting. Are you sure you did not modify anything else inside /etc/ directory ?
How you can try this:
1) Boot from Knoppix.
2) Mount that linux partition.
3) Edit /etc/passwd and change it back to bash.
4) Or create a symlink called ksh that points to bash in case ksh is not installed.
HTH