Uploading graphics in Nelo theme

I'm trying to upload graphics with the Nelo theme Custom Homepage options. I've checked this forum and there was an issue on one with GD Images but that is enabled in my setup.

What happens is simply I browse to the file and click "upload" and the page refreshes but nothing happens. I don't get an error, I don't see the image to crop or that is to be used, nothing.

Anyone know what I might be doing wrong?