Hi mughal814,
1. Does it get problem on all pc? or just the one what you are using? If only get problem on the pc what you are using, then try disable the firewall or Antivirus of your pc to try again.
2. If it get problem on all machines, then please refer to http://www.ajaxuploader.com/FAQ.htm#16 "How do I handle a large file upload?" section, and ensure that your large file upload settings are correct.
Regards,
Ken