HTML not working in Dynamic Text Box

I am stumped and have for hours been trying to figure out why an external plain text (.txt) file, which loads into a Dynamic Text Box is unable to display the simple HTML tags I have applied (eg: <i></i>, <b></b>).

I am using MX 2004 Professional, a .txt file (I have tried Word, BBEdit etc). The Dynamic Text Box properties are set to Multiline, Selectable, and Render Text as HTML. I have tried Arial, Verdana, and even pixel fonts - still no luck.

Instead of formatting according the HTML tags, it displays the tags in the text.

Any suggestions would be greatly appreciated.

Thanks.

Concept Shore