Image UPDATE problem

<?php
    if (isset($_POST['submit'])) {

            include("../connect.php");    
                
            $query = "SELECT * FROM sponsors WHERE sponsor_id={$_POST['sponsor_id']}";
             $results = mysql_query($query);
                
            $row = mysql_fetch_array($results) or die(mysql_error()); 
                    
            $sponsor_id = $row['sponsor_id'];
            $name = htmlentities($row['name']);
            $website = htmlentities($row['website']);
            $element = htmlentities($row['element']);
            $since = $row['since'];
                
            trim($level);
            addslashes($name);
            addslashes($element);
?>
                <form action="sponsor_editsave.php" method="POST">
                    <p>Sponsor/Company Name: <input type="text" name="name" size="30" maxsize="100" value="<?php echo $name; ?>" /></p>
                    <p>Website: <input type="text" name="website" size="30" maxsize="40" value="<?php echo $website; ?>" /></p>
                    <p>Element: <input type="text" name="element" size="20" maxsize="30" value="<?php echo $element; ?>" /></p>
                    <p>Sponsor since: <input type="text" name="since" size="4" maxsize="4" value="<?php echo $since; ?>" /></p>
            <?php
                   if ($photo != NULL){
                    echo "<img src=\"http://www.campyale.com/sponsors/images/".$row['photo'] ."\" />";
            ?> 
                </form>   
                    <form action="sponsor_delete_logo.php" method="post">
                        <input type="hidden" name="sponsor_id" value="<?php echo $sponsor_id; ?>">
                        <p><input type="submit" name="logo_delete" value="Delete Logo" /></p>
                    </form>
                <form action="sponsor_editsave.php" method="POST">
            <?php
                } else {
            ?>   
                     <p>Sponsor Logo: <input type="file" name="photo" /></p>       
            <?php
                }
            ?>                   
                    <form action="sponsor_editsave.php" method="post">
                        <input type="hidden" name="sponsor_id" value="<?php echo $sponsor_id; ?>">
                        <p><input type="submit" name="submit" value="Save Changes" /></p>
                    </form>
                    <form action="index.php" method="post">
                        <p><input type="submit" name="submit" value="Cancel" /></p>
                    </form>
                </form>
            <?php
            } else {
                echo "<p>Info not properly submitted. </p>";
                mysql_close(); //Closes our SQL session
            }
            ?>

<?php
            //This is the directory where images will be saved 
            $target = "../images/"; 
            $target = $target . basename( $_FILES['photo']['name']); 

            if (isset($_POST['submit'])) {
                // connect to database
                include("../connect.php");    
                
                $sponsor_id = $_POST['sponsor_id'];
                $name = $_POST['name'];
                $website = $_POST['website'];
                $element = $_POST['element'];
                $since = $_POST['since'];
                $photo = ($_FILES['photo']['name']); 
                
                $website = htmlentities($website);
                
                $name = trim($name);
                $element = trim($element);
                
                $name = addslashes($name);
                $element = addslashes($element);

                //Define the query
                $query = "UPDATE sponsors SET name='$name', website='$website', element='$element', since='$since', photo='$photo' WHERE sponsor_id={$sponsor_id}";
                //run the query
               if (@mysql_query ($query)) { 
            ?>
                 <p>The sponsor was successfully updated.</p>
            <?php 
                    //Writes the photo to the server 
                    if (move_uploaded_file($_FILES['photo']['tmp_name'], $target) or die (mysql_error())) { 
                    
                    //Tells you if its all ok 
                        echo "<p>The file ". basename( $_FILES['uploadedfile']['name']). " has been uploaded, and the information has been updated in the directory</p>"; 
                    } else { 
                        //Gives an error if its not 
                        echo "<p>Sorry, there was a problem uploading your file.</p>"; 
                    }
                } else { 
            ?>
                 <p>The sponsor could not be saved.</p>
            <?php 
                mysql_close(); //Closes our SQL session
                }
            } else {
            ?>
                 <p>There is no data to process.</p>
            <?php
            }
            ?>

if (move_uploaded_file($_FILES['photo']['tmp_name'], $target) or die (mysql_error())) {