Thanks for your reply.
I use IDE 1.5.6-r2
I tried using two UTFT versions.
The first, downloaded from Henning Karlsen (the latest version in his site). With this, the I could not see the flash IC content in the demos (got the color bars right, then, instead of fonts/icons that should have appeared, I got just varying color bars, and next, a continuation with graphics, based on Henning Karlsen UTFT library.
The code start with the following:
// Demo with Font and icon Flash IC
// (C) 2013 Coldtears electronics
// For use with CTE 5.0" (800x480) LCD Module w/Font and Icon Flash IC
// in combination with CTE TFT/SD Shield for Arduino MEGA2560
// web: Security Measure
//
// The first part of the demo is to show how to use the font IC to draw font to the LCD,
// The IC also include some commonly used and open source icons
// great for custom application development.
//
// Second part of the demo code is adapted from Henning Karlsen's demo
// Original by
// UTFT_Demo_800x480 (C)2012 Henning Karlsen
// web: Electronics - Henning Karlsen
//
// This demo was made for modules with a screen resolution
// of 800x480 pixels.
// This sketch requires the UTFT library by Henning Karlsen
// also requires the Flash_IC library by Coldtears electronics
//
Now, I found that Coldtears set a UTFT library adjusted for Mega (libraries for MEGA) which has 3 folders inside (Importer, sdFAT and UTFT). Tried this UTFT library, but with this one: 1) the screen flickers 2) again cant see the flash icons etc.
Then I wondered if I can connect at all with the flash IC, so I tried the demos on the spiFlash library, and managed to see that using the SPIflash_ChipTest, I managed to erase all the flash IC content 
That told me at least that the chip works.
Now, I tried the Importer demo, which should import images from the SD. I bought a 2GB SD card, formatted it to FAT16, and loaded it with a 0.CTE file and ran it.
/ Image Importer to Flash memory
// for CTE LCD Modules
// (C) 2013 Coldtears electronics
// For use with CTE TFT LCD Modules w/Font and Icon Flash IC
// in combination with CTE TFT/SD Shield for Arduino DUE
// web: Security Measure
// For Usage, please read the PDF in the download package
//
// This ultility requires SDfat and a compatible SDcard
// web: Google Code Archive - Long-term storage for Google Code Project Hosting.
// Please use the sdfat library in the package as it is slightly modified
//
#include <SdFat.h>
#include <UTFT.h>
#include <SdFatUtil.h>
#include <Importer.h>
#include "SPI.h"
#define BVS_13 10
#define BVS_15 12
#define BVS_19 14
#define BVS_22 18
#define BVS_28 22
#define BVS_34 28
#define BVS_43 38
#define BVS_52 53
#define BVS_74 78
#define BVS_112 122
UTFT myGLCD(CTE50,38,39,40,41); // Remember to change the model parameter to suit your display module!
// SD chip select pin
const uint8_t chipSelect = SS;
#define BUF_SIZE 256
static char name[14];
static char flash_memory_type;
uint8_t buf[BUF_SIZE];
unsigned long Location;
unsigned long address;
char IMAGE_FILENAME[] = "0.CTE";
unsigned int MAX_sector;
// file system
SdFat sd;
// test file
SdFile file;t stream
ArduinoOutStream cout(Serial);
//------------------------------------------------------------------------------
// store error strings in flash to save RAM
#define error(s) sd.errorHalt_P(PSTR(s))
//------------------------------------------------------------------------------
void setup() {
delay(1000);
Serial.begin(38400);
SPI_Flash_init(45);
myGLCD.SPI_Flash_init(45);
SPI.begin();
SPI.setClockDivider(SPI_CLOCK_DIV2);
myGLCD.InitLCD();
myGLCD.show_color_bar();
delay(1000);
myGLCD.clrScr();
}
void loop() {
delay(400);
myGLCD.setColor(255, 255, 0);
myGLCD.setBackColor(0, 0, 0);
myGLCD.Set_character_spacing(1);
myGLCD.Put_Text("Image importer via SD card",5,5,BVS_28);
char charBuf[1]; charBuf[0]=169;charBuf[1]=0;
myGLCD.setColor(255, 0, 255);
myGLCD.Put_Text(charBuf,5,40,BVS_28);
myGLCD.Put_Text(" Coldtears electronics",30,40,BVS_28);
myGLCD.setColor(255, 255, 255);
if (!sd.begin(chipSelect, SPI_HALF_SPEED))
{
myGLCD.Put_Text("SD Access Error",5,80,BVS_19);
sd.initErrorHalt();
}
else {
myGLCD.Put_Text("SD Access OK",5,80,BVS_19);
}
delay(1000); if (READ_ID()==0) {myGLCD.Put_Text("Flash memory Error",5,100,BVS_19); while(1){} }
else if (READ_ID()==1) {myGLCD.Put_Text("Flash: 32Mbit, Max Img location 799",2,100,BVS_19); flash_memory_type=1; MAX_sector=1023;}
else if (READ_ID()==2) {myGLCD.Put_Text("Flash: 64Mbit, Max Img location 1823",2,100,BVS_19); flash_memory_type=2; MAX_sector=2047;}
delay(1000);
if (!file.open(IMAGE_FILENAME, O_RDWR)) {
myGLCD.Put_Text("file open failed",5,120,BVS_19);
error("open failed");
}
else{
myGLCD.Put_Text("file open OK",5,120,BVS_19);
}
delay(1000);
char temp_buf[10];
file.read(temp_buf, sizeof(temp_buf));
file.rewind();
unsigned int ass=temp_buf[6]*256+temp_buf[7];
Location=ass; //DO NOT edit this, or else it may overwrite Font data
address=(Location+224)*4096; //DO NOT edit this, or else it may overwrite Font data
unsigned long filesize = file.fileSize();
unsigned long no_of_sectors = filesize/4096;
if (filesize%4096>0) no_of_sectors=no_of_sectors+1;
unsigned long no_of_page = filesize/256;
if (no_of_page%256>0) no_of_page=no_of_page+1;
if (Location+224+no_of_sectors>MAX_sector)
{ myGLCD.Put_Text("Not enough space",5,120,BVS_19); while(1){}}
file.getFilename(name);
myGLCD.Put_Text((String)filesize+"bytes, Filename:",1,120,BVS_19);
myGLCD.Put_Text(name,200,120,BVS_19);
myGLCD.Put_Text("Img location: " + (String)(Location) + "-" + (String)(Location+no_of_sectors-1),120,80,BVS_19);
delay(1000);
unsigned char countdown=10;
myGLCD.setColor(255, 100, 100);
myGLCD.Put_Text("unplug power NOW to cancel..",1,140,BVS_22);
myGLCD.Put_Text(String(countdown)+" ",280,140,BVS_22); delay(1000);
while(countdown>0)
{
if (countdown%2==1) myGLCD.Put_Text("unplug power NOW to cancel..",1,140,BVS_22);
else myGLCD.Put_Text(" ",1,140,BVS_22);
myGLCD.Put_Text(String(countdown)+" ",280,140,BVS_22);
countdown--;
delay(1000);
}
myGLCD.setColor(255, 255, 255);
unsigned long temp_add = address;
unsigned long m;
String total_sectors = " / "+ (String)(no_of_sectors-1);
for (m=0; m<no_of_sectors;m++)
{
WRITE_ENABLE();
if (flash_memory_type==1) WRITE_STATUS_REGISTER(48);
else if (flash_memory_type==2) WRITE_STATUS_REGISTER(44);
delay(30);WRITE_ENABLE();
SECTOR_ERASE(temp_add);
temp_add=temp_add+0x001000;delay(300);
myGLCD.Put_Text("Erasing Sector: ",1,165,BVS_19);
String displaya = String(m) + total_sectors;
myGLCD.Put_Text(displaya,150,165,BVS_19);
}
temp_add = address;
volatile unsigned int counter=0;
String total_page = " / "+ (String)no_of_page;
for(unsigned long z=0;z<no_of_page;z++)
{
unsigned int bytes_read=file.read(buf, sizeof(buf));
if (bytes_read!=256)
{
for(unsigned int z=bytes_read;z<256;z++) buf[z]=0xFF;
}
WRITE_ENABLE();
PAGE_PROGRAME(temp_add,buf);
temp_add=temp_add+256;delay(20);
counter++;
myGLCD.Put_Text("Writing Page: ",1,185,BVS_19);
myGLCD.Put_Text((String)counter + total_page ,150,185,BVS_19);
}
myGLCD.Put_Text("Write File OK, Display image soon....",1,205,BVS_22);
delay(1000);
WRITE_ENABLE(); WRITE_STATUS_REGISTER(252); delay(100);
countdown=5;
while(countdown>0)
{
myGLCD.Put_Text(String(countdown)+" ",300,205,BVS_22);
countdown--;
delay(1000);
}
myGLCD.Load_image(0,0,(Location));
delay(2000);
file.close();
Location=Location+no_of_sectors;
address=(Location+224)*4096;
while(1){} //disable this for batch files import
//IMAGE_FILENAME[0]=IMAGE_FILENAME[0]++; //myGLCD.clrScr(); //enable this for batch files import
}
While with the original UTFT library there were many compilation errors (I compared the UTFT.h files on both versions, and the original version lacks many arguments appearing in the Coldtears version). So I used the Coldtear UTFT version for Mega, and compilation went well, however running it results only in changing color rows.
Being a micro-surgeon, I have a lot of patience, but it probably can't compensate for lack of knowledge 
Will appreciate if you could make some order in my mess