I assume this is DTS on SQL 2000.
In any event, has CuteFtpPro been installed on the SQL Server?
When you run the package by hand you are running the package on the machine where you are logged in, not the server (unless physically at the server, or logged in through terminal server). So I bet that you have Cute installed on your workstation but not on your server.
David Lundell
Principal Consultant and Trainer
www.mutuallybeneficial.com