OK. Let's do a test using two simple files:
1)Index.php
<html>
<head><title>test</title></head>
<body>
<?php
// simulate a link like "$row_rmerchants['MerchantURL']"
$link = 'http://clkuk.tradedoubler.com/click?p=3289&a=1104411&g=13519630&epi=howdy@doody.com';
?>
<p><a href="clck.php?lnk=<?php echo $link; ?>"><img src="moon.gif" /></a></p>
</body>
</html>
2) clck.php
<?php
$redir = trim($_GET['lnk']);
// echo out the value per pjleonhardt
echo $redir;
?>
I upload and then clicky on that image. When I echo out the value of $redir, instead of: "http://clkuk.tradedoubler.com/click?p=3289&a=1104411&g=13519630&epi=howdy@doody.com"
I get this: "http://clkuk.tradedoubler.com/click?p=3289"
Let's try and header-redirect. I am taken here: http://clkuk.tradedoubler.com/click?p=3289 (an error page)
OK. Let's go back and change the first page to this:
<html>
<head><title>test</title></head>
<body>
<?php
$link = 'http://clkuk.tradedoubler.com/click?p=3289&a=1104411&g=13519630&epi=howdy@doody.com';
// URL encode the string per MaxPup
$link = urlencode($link);
?>
<p><a href="clck.php?lnk=<?php echo $link; ?>"><img src="moon.gif" /></a></p>
</body>
</html>
Clicky and echo "$redir": "http://clkuk.tradedoubler.com/click?p=3289&a=1104411&g=13519630&epi=howdy@doody.com"
And if I redirect from my site now, I am now redirected here: http://www.101cd.com/home/index.asp?asptnr=9691.
So, if you go back and change your code like this:
<?php
// url encode this value
$merchanturl = urlencode($row_rmerchants['MerchantURL']);
$merchimg = $row_rmerchants['MerchantImageURL'];
?>
<p>
<a href="http://www.mysite.com/Admin/clck.php?lnk=<?php echo $merchanturl; ?>"><img src="<?php echo $merchimg; ?>" /></a>
</p>
... you should have no more trouble.