I had the same issue but could not resolve it. My hosting site is Lunarpages and I used Fantastico to install a second copy of WordPress, using a second database, into the root of a subdomain (not a subdirectory). No images would display in the WordPress Console or from a theme. Installing a second copy in a subdirectory of my main domain had no issues. etdsbastar, did you ever get it resolved?
I’m getting the error as well.
The address in my bar is: ../wp-login.php?action=logout.
I was using the sliding_door theme but reverting back to the default theme the error still occurs.
Would love to figure this out.
