Candy could experience the following error when trying to use a jpg file as a logo that is of the form XXXXX. Later versions of candy (2.00b22) do not display this error but do not display the jpg file either.
appears to be caused by corrupted file or file with incorrect extension. (Photoshop generated images have given problems)
The easiest way to resolve this problem is to open the file in PAINT and then save it again. This effectively downgrades the file.