I am having the exact same problem on my production server.  However, when I try this on a local install (with the same versions) everything works correctly.  Therefore, I was thinking this might be a permissions error(?). 

Can anyone give me some guidance about the specifics of what permissions are required and how this module should be properly configured?  Thank you.

Thanks for your reply.  Unfortunately, I still need more "specifics".

If I go to the "Maintenance" tab of the Gallery module, I can see the "Path" setting (on my local, working site) that shows something like:

/DNNv460/Portals/0/Gallery/375/

...and if I browse to this folder using [Windows/XP] Explorer, I can see that this is where my image files reside.  However, if I go to DNN's File Manager, this folder does not even show up on the list.  I just see "Host Root" with no sub-folders below it.  I poked around there, but could not find a way for it to display (and therefore check permissions) to this folder.

I would appreciate any further details you could give me.  Thank you.