Ultimate Branding Plugin Not Saving Login Logo

I downloaded and installed the plugin and tried to modify the login page logo by uploading an image. The size of my graphic was 310px by 70 px as recommended, in jpg format. I enabled login page logo option then went to the images tab to upload. I choose the image then 'save'. The page reported on upload status (% uploaded etc) then I got the plugin message that file had been saved. Only logo was not updated and nothing changed. I am running multisite 3.4.1. I checked in the uploads folder and the appropriate sub folders were created /uploads/ultimate-branding/includes/login-image/ but there was no image in the folder. Permissions on uploads folder 777

Any ideas?