A Generic error occurred in GDI+ in Bitmap.Save method

When either a Bitmap object or an Image object is constructed from a
file, the file remains locked for the lifetime of the object. As a
result, you cannot change an image and save it back to the same file
where it originated.
http://support.microsoft.com/?id=814675

A generic error occurred in GDI+, JPEG Image to MemoryStream

Image.Save(..) throws a GDI+ exception because the memory stream is closed

http://alperguc.blogspot.in/2008/11/c-generic-error-occurred-in-gdi.html

EDIT:
just writing from memory…

save to an ‘intermediary’ memory stream, that should work

e.g. try this one – replace

    Bitmap newBitmap = new Bitmap(thumbBMP);
    thumbBMP.Dispose();
    thumbBMP = null;
    newBitmap.Save("~/image/thumbs/" + "t" + objPropBannerImage.ImageId, ImageFormat.Jpeg);

with something like:

string outputFileName = "...";
using (MemoryStream memory = new MemoryStream())
{
    using (FileStream fs = new FileStream(outputFileName, FileMode.Create, FileAccess.ReadWrite))
    {
        thumbBMP.Save(memory, ImageFormat.Jpeg);
        byte[] bytes = memory.ToArray();
        fs.Write(bytes, 0, bytes.Length);
    }
}

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