I have a table field with the picture filename e.G. C:\pictures\picture1.jpg for the item 1

I want to show this picture in the detailband on a report but it seems to be impossible in the reporting tool. Is there a 3rd party tool to handle this? i found existing tools for barcode doing something similar, but nothing for jpgs.
or is there a way to accomplish this in the reporting tool?

How are you setting up the image control, that will display your image?
What are the following properties showing in the image control?
Source: ?
Value: ?

Because you are using an external image, I'd expect to see the following:
Source: External
Value: =Fields!imagepath_fieldname.Value

Are the images in a location that has security restrictions on them?
To access external images, RSS uses the Unattended Execution Account to try and retrieve them.

As an after thought, I assume the image path you are passing to RSS is relative to the server?

Hope this is of some help.