Sorry, been away last few days, there is something strange going on this server, i uploaded picture just fine and its visible in admin, but seems inaccessible from WWW, can you please PM me your FTP login and pass and your hosting support email. Needs some investigation, not sure whats going on.
Must be some misconfiguration or with changing permissions ownership been changed too and now web server cannot access folders but they are readable by php. Hard to say without closer examination.
For example this:
http://www.wellsimagery.com/upload/cont ... Winter.jpg
is thumbnail which was created by php from picture I uploaded and its accessible just fine, but not the image itself:
http://www.wellsimagery.com/upload/cont ... Winter.jpg