Raja,
Please make sure the following property is set to true.
Editor.AllowEditServerSideCode Property
By default Cute Editor doesn't allow edit the Server side code. When this property is set to true, Cute Editor will allow edit the Server side code. (<%@ Page Language="C#" %> <%=MyString %> <asp:textbox id="textbox1" runat="server"></asp:textbox>)
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