Please give more details.
You say that you have Premiere Elements 10 and that you cannot import more than one photo (assumed jpeg).
What are the pixel dimension of the photo (width and height in pixels)?
What do you mean by "I can create two layers or more but no photos will come in"?
The Premiere Elements 10 Timeline workspace has tracks and its Sceneline workspace has Filmstrip with scene slots. Where are you getting these layers?
Important: what video card/graphics card does your computer use?
And, is this a "it worked before but not now" problem or "it never worked before" problem?
What computer operating system?