That's the frustration that when I load the entire stack into a VMWare local macine with CentOS 64 bit and your stuff, it works just fine.
Furthermore, for about 10 months I was running Litespeed on the same server with my original ( windspar ) application and all photo issues worked fine.
I hired a consultant to add another application ( itracker ) to the VPS and a new Virtual Host and that's when things went south.
Today, I took off the new application ( itracker ) from your Litespeed server to see if it was a memory issue and it ( windspar ) still wouldn't save photos without 503ing. To make matter worse, I then added back another Virtual Host to put back itracker and whenever I access the application I 503? The static pages of the new site serve fine, but it doesn't seem to want to start Rails.
It's something like 'evil spirits' moved into my VPS server.
If you would like specifics about programs and pages to see this behaviour, it would be my pleasure.
If you told me to buy your 64bit version to fix this, I gladly would. So far I've paid out $1,800 in consultants to try to get this working.