error uploading files by users

[phantom5]

I am using 1.7.3 with 4waters template running on php-nuke 7.8    I am currently only working with jpg and gif images and as admin via control panel I can upload with no problem but as a user it says it was uploading but never showed up. I checked the media folders the files didn't upload at all. At the top of the window it says "Settings' and below that it has the Upload image stuff. After you hit submit an error shows right under "Settings" at the top -> Error uploading image file: 

I have a copy of the whole site running on a second server for testing and I have a different error -> Please enter the verification code. 
Which shows up under   Settings  at the top of the screen. I can't seem to find where either problem is but I do know under the admin control panel the uploads work fine.  Any ideas on how to fix either?
 

[phantom5]

ok, as for the verification # I found that the gfx check security code in nuke was only set to new registaration only but for some reason it was looking for a code on that page when uploading. I removed the security code check and now the upload works on one copy but the other still has an error message. Any ideas on what the error could be caused from?