Site not showing images of news posts, MU with wpmudev plugins

Hi!

I essentially have been wrecking my mind on trying to figure this one out.

I had my site converted from joomla to wordpress soon after i joined WPMU and saw the possibilities for memberships etc

(as still looking to find again the lawyers site that I saw prior to signing up, done by a member here, would like to emulate a few things)

Anyway, I loaded a responsive theme from themeforest and all worked well.

However, now I have the problem of any new post, and I mean anything, no images show up for either in post or as featured image.

I see a placeholfer in its place for the latest post but no image. the same problem is happening with the logo png too...

any help would be fantastic

site: http://sutramagazine.net/blog/2012/07/12/president-jacob-zuma-on-the-occasion-of-the-naming-of-the-presidential-guest-house-to-sefako-mapogo-makgatho-presidential-guest-house-pretoria/