Image Permissions Error Solution

I was having problems uploading images in WP 2.9.2 The upload would go fine but the images could not be displayed, neither in a post nor page nor even in the media library. The files were there and the permissions on the folders and files appeared fine.

SOLUTION: Check for a .htaccess file in the uploads folder. Mine included a “deny from all” statement that blocks access to the files in that folder. Remove and you should be ok. Not sure why that was in file but getting rid of it worked.