Are you trying to program the Arduino Uno with the LEDs connected? Sometimes you may need to disconnect everything from the I/O pins so that it doesn't interfere with the uploading of sketches.
I just disconnected the board from the entire schematic and tried to upload the blink program, hoping pin 13 would blink repeatedly. It did not work. So, there is no schematic and the code is the same as the blink code. Upon further troubleshooting, I noticed that the Arduino software performs exactly the same when I completely disconnect the USB and ftdi. It runs through, gives the error message above, and then says "Done uploading.". It would appear it is not the FTDI, but something with either the software or system. I'm running the Lilypad Atmega328, (and tried two different lilypads, so it's not the board). It's also helpful to note, I am not the OP.