From the looks of your images, I think you are either using this script:
http://www.dynamicdrive.com/dynamici...thumbnail2.htm
or perhaps should be, not the one linked to in your post. The one from your post positions the larger image in the center of the window, over all other content, with a box around the image that includes a close button. You images do not show that. But it is possible you are using anything and have either modified it and/or have something strange going on with your layout.
To really help with this though, it would be good to have a link to the page where you are trying this:
Please post a link to the page on your site that contains the problematic code so we can check it out.
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