Hi,
For local imagery we'd recommend creating a Tile Package with ArcGIS 10.1 for Desktop and adding that to your application via the ArcGISLocalTiledLayer class.
However, if you are trying to read from your own store of tiled images on disk you could investigate deriving from the TiledLayer class because the TiledMapServiceLayer class is more specifically implemented to work with services.
Cheers
Mike