Hi Adam,
Now, I'm using CuteEditor version 6.2 but I downloaded version 6.3 and re-test again. Problem is still occur.
I test by create new project on Visual .NET 2008 and put one list box and one CuteEditor control. Then I click on "Insert Picture" button and move new window pop-up to put on list box above. The problem occur same as I posted before.
You can download my code and try to test by yourself and don't forget use IE 6.1