>>>I assume that you're using a OLEBoundControl to display the field. If AutoActivate is set to 2, double clicking the image (or icon) should start the application associated with it.You might try this on the machine that doesn't work properly (making any necessary temporary adjustments). This should tell you what application is currently associated with the image. My hunch is that David Frankenbach's suggestion is along the lines you'll need to follow.
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>>In this case the files are BMP only. However I will have them try the double-click thing (it is set to 2) to see what OLE server is invoked. I did
>>check the associations in regedit and .BMP is set to PSImage or something like that - following that PSImage's shell open command is set to C:\WINDOWS\PBRUSH.EXE %1 which I think is correct.
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>That may be the problem. If PSImage's icon is what's being displayed, I'd be almost convinced of it.

Ok guys, I figured it out the easy way. Since the associations in windows explorer wouldn't fix it, it has to be deeper in the registry as David Frankenbach suggested. So the easiest way to fix this is to go to the control panel, add/remove programs, remove MSPaint and Quickview from the Accessories.
Then restart and reselect them for installation. Restart again and it will work.

Brad.