Something I noticed, is that the imagecache directories were not getting created...

I tried creating them manually, and settting 777 on them recursively, still no dice...

/files/imagecache/category/files

was hoping this might work...nope

another thing I tried, was changing the /tmp path to tmp, and creating tmp in my root web folder, this at least shows me that the file is being uploaded...but something, somewhere is not moving it out of the tmp folder into the /foles/imagecache folder...maybe this will provide some insight.

The selected file tmp/tmp_7T65da could not be uploaded, because the destination is not properly configured.

The file tmp/tmp_7T65da does exist, and "lingers", so it's not getting unlinked either.