Hi Terry,
I think you might be barking up the wrong tree.
Personally I'd put the image in the application folder, and set the name to
?Draw{PROP:Text} = 'client.jpg' just like you would for any clarion report.
Remember the report procedure, if called without the p_web parameter, will work as a normal Clarion report, so you can check to see if the Jpg is in the report. If it is then the problem would appear to be with the converter you are using (to pdf).
As a test, put a button on a window in your app, and call the report as a normal windows report to see what happens.
cheers
Bruce