I am trying to do a similar thing and it would be a complete lazy hack to save images to a SQL or Access Database. 

I am using Cute Editor for ASP.Net version 5.3.

We have 2 servers that serve a load balanced site.
This means that instead of c:/winnt/inetpub/oursite, or some such path, we have \\vserver\D$\oursite.

I have setup a test script to ensure that we can actually write.
In a nutshell, my test is powered by (and works using):
  filename.PostedFile.SaveAs("\\vserver\D$\oursite\someimage.gif");

In Editor.config, I have set:
  <setting name="MultipleServerMode" value="True" />

In Default.config, I have set:
  <security name="ImageGalleryPath">\\vserver\D$\oursite</security>

The error returned is (with Stack Trace and Version Info):
  Unable to translate physical path \\vserver\D$\oursite to virtual path

Stack Trace:
  [Exception: Unable to translate physical path \\vserver\D$\oursite to virtual path]
   CuteEditor.EditorUtility.ProcessWebPath(HttpContext context, Control ctrl, String path) +692
   _ASP.gecko_insertimage_frame_aspx.InitOfType() +34
   CuteEditor.Dialogs.FileBrowserPage.OnInit(EventArgs e) +713
   System.Web.UI.Control.InitRecursive(Control namingContainer) +241
   System.Web.UI.Page.ProcessRequestMain() +197

Version Information:
  Microsoft .NET Framework Version:1.1.4322.2300; ASP.NET Version:1.1.4322.2300


Any help would be greatly appreciated.