2009/11/3 mojipittan <nginx-forum@nginx.us>:
> [...]
> Is this a php 5.3 or a nginx vhost rewrite problem perhaps?

it could be both nginx and php issue. Check upload_max_size and
post_max_size in php and client_max_body_size in nginx (default 1mb)
for the start. But.. if Drupal report you that max file size that you
can upload is 2mb, I thing is php issue.

Best Regards
Grzegorz Sieńko