There is a bug in the jcarousel if you using xhtml instead html. See: http://groups.google.com/group/liftweb/browse_thread/thread/973aabff8a95fa77/b143b4975ddb8124?hl=en#b143b4975ddb8124
Thanks to Marius again. The carousel works if you edit the js and replaced the UL with ul. A change in the xhtml file to UL breaks the picture load. Cheers Torsten