you can read files from the local file system if you are going to distribute the app as a projector or some other exe.
but if you are looking for doing it from a swf embedded inside a web page then you can't do it without user intervention.
Look for file upload examples done with FileSystem class for reference. You can find a lot of those on google.
I have situation with embedded swf inside web page.
That swf should load other swf files stored on client HDD.
What did you mean by user intervention?
I read lot’s of stuff about issue but none of them works for me.
In such a scenario you cannot load files into flash player without the help of the user i.e. automatically in the background because of security sandbox.
Flash player doesn't give you direct access to the user's hard drive or the capability to read or write files to same.
You can use the File reference class that helps you put up a "browse for file" button kind of functionality found in web pages.
User can then click and select the file which you want to read.