The problem is Flash Player 10, not WordPress. I had the same issue with 2.65. Adobe left out the javascript that does the file uploads and it seems they are not going to repair it. You’ll have to go back to version 9 of Flash Player.
Thanks MadHag and thedesciplers. I was having this same issue. I thought it was my hosting service but after getting rid of wp_bible my site works fine. A good lesson learned (hopefully).
