Texture Problem

Have been using milkshape to export my models to a .dts. When I bring the model into the Torque, its shows up without the texture (a grey color). I've searched all I can handle through documentation and the forums, but haven't had much luck. The UV maps/textures I have made for my models are 256x256 or 512x512 (multiples of 2). The textures are in the same folder as the .dts file. How can I get the textures to appear in-game?