Show special chars like é in AutoComplete

How do I show special c开发者_运维百科hars like é in Ajax Control Toolkit's AutoComplete? They're showing as a white square in IE7 and a black diamond in FF4. I tried escaping them in the WebMethod using HttpUtility.HtmlEncode but that made it worse!

(Also raised here http://ajaxcontroltoolkit.codeplex.com/workitem/26998)

When reading the values in from file, use

StreamReader re = new StreamReader(filepath,System.Text.Encoding.UTF7);

rather than

StreamReader re = new StreamReader(filepath);