I use the following VB.NET (VSTO) code to add a shape in MS-Word,
Dim app As Word.Application = Globals.ThisAddIn.Application Dim doc As Word.Document = app.Acti
Instead of shape.Fill.UserPicture("C:\Newfolder\App1.jpg") try
shape.Fill.UserPicture("C:\Newfolder\App1.jpg")
Word.Range range = shape1.TextFrame.TextRange; range.InlineShapes.AddPicture(@"C:\Newfolder\App1.jpg", false, true, Type.Missing);