Basheer,
I would use a JSP page for this.
For example, in a JSP page called "images.jsp".
<html><body>
<img src="/image1.jpg" >
</body></html>
The image in this case resides inside the root directory of your application.
For example E:\Program Files\Apache Software Foundation\Apache
Tomcat 6.0.16\webapps\examples\image1.jpg. "examples" being the name of your web application.
In your servlet code:
RequestDispatcher rd = request.getRequestDispatcher("/images.jsp");
rd.forward(request,response);
For simplicity I would put the images.jsp page in the "examples" folder.
Hope this helps
Sunil