Humm, I guess you don't really imagine how labelondrop works. Then, to help you figure out; try this:

LabelOnDrop !Alert

That's all. Then drop something and watch the result.
Note:
- If LSFtp.dll works, things I put above should work.
- I guess you need to specify address/pasword to FTPConnect
- I don't recommend to !FTPConnect in a single line, since it could take some time before the connection is on.