I suspect your problem is that you are using a relative url in the image tag.
When you run a page in a browser, you are getting the source from a server:
==> http://www.mysite.com/index.php
so when you have an image tag on the page
==> <IMG SRC="myImage.php">
the browser actually formats the request as
==> http://www.mysite.com/myImage.php
to get the image off of the server.
When you created an html formatted email, the email client has no base url to use as a reference to find the image on the 'net, hence a blank box.
When you create your html formatted email, either use the <BASE> tag in the header to set the base for url's:
==> <BASE HREF="http://www.mysite.com/">
or just use absolute url's in your image tags:
==> <IMG SRC="http://www.mysite.com/myImage.php">
HTH
-- Rich Rijnders
-- Irvine, CA US