Multiple problems: Permissions, "No images" error, more

So I'm just getting started with Power Gallery. Here are some of the issues:

Uploaded all files to the web server.
Navigated to the Power Gallery files, and started up the wizard.
Wizard creates a file called "Connections" but sets up the folder without write permission. It also sets up the folder with incorrect ownership (User: apache; Group: apache). Should be User/group for my server.

I therefore had no access to "Connections". Couldn't delete it, etc.

Workaround: Had to call my webhost to delete the folder and re-create it.

All fine, at this point (except I need to know what I did wrong, or if your software isn't working correctly).

Now, I'm trying to include the images that are provided as samples, but Power Gallery is reports "ERROR: The image folder contains no images! Please choose another folder." The images are definitely in the folder... I can see them in the Power Gallery Admin system.

Your help will be appreciated.

Permissions problems persist. The folder called "images" which was created when I tried to import the sample images has the same incorrect permissions as the "Connections" file. I can't access the folder, so I think I'm going to have more problems.

Need some help, guys.