This is not the answer of how to get contents of a folder from the server but it is a way to search through a folder of your choice on the local machine. It only goes 3 levels deep and it may not be the best way to find folders because it checks to see if their extension is null and I made it assume it is a folder. Then I search in that folder.  Anyway here it is. 
You will need do create a text field and give it an  instance name of "daText";
Here is the code:
import flash.filesystem.*;
import flash.media.*;
var myFolder:String = "images/"; /// change this to the folder of your choice :)
var desktop:File = File.applicationDirectory.resolvePath(myFolder);
var files:Array = desktop.getDirectoryListing();
for (var i:uint = 0; i < files.length; i++)
{
    if (files[i].extension == null)
    {
        daText.text +=  files[i].name + "\n";
        var anotherArray:File = File.applicationDirectory.resolvePath(myFolder+files[i].name);
        var h:Array = anotherArray.getDirectoryListing();
        for (var a:uint = 0; a < h.length; a++)
        {
            daText.text +=  "----" + h[a].name + "\n";
            if (h[a].extension == null)
            {
                var oneMoreArray:File = File.applicationDirectory.resolvePath(myFolder+files[i].name+"/"+h[a].name+"/");
                var C:Array = oneMoreArray.getDirectoryListing();
                for (var B:uint = 0; B < C.length; B++)
                {
                    daText.text +=  "*******"+C[B].name + "\n";
                }
            }
        }
    }
}