Problem with TinyMCE

Hi to all,

After using 0.9.5 & 0.9.6 for so long I have decided to change one of my sites to 0.9.6.2

As is, the site is being re-built and so the new system comes at a great time.

I have to use an WYSIWYG editor as im not the only one who modifies the site.

After installing the new version (0.9.6.2) I re-built all of the template structure including snippets, chunks etc..

So now down to the problem:

When I use TinyMce it doesnt show all required information:

eg:
I have an image (thumbnail) and want to link it to a larger version in the "images" folder - this option isnt there.

The dropdown box only shows the folder "Files" - try to upload to files via the system and "error - file type not allowed" - So alterred file types (tools/configuration) and still no go.

I am building a gallery which uses lightbox and therefor need to link to images within the images folder.

Any help would be appreciated.