This just worked for me on a Windows install of Apache / WordPress. Any way WordPress could figure out whether php indexing is switched on when it is installed? This caused me a lot of frustration and I’d have never come up with this fix myself.
This page has resources for solving this problem. The .htaccess file fix is the one that worked for me.
http://www.tipandtrick.net/2008/disable-wordpress-25-flash-imagevideomedia-uploader-with-plugin/
thepsychicpilot, if I can even get my hands on the theme to try it out myself, maybe I can help you. What page do I go to to download the monotone theme (for use on a privately hosted wordpress blog)?