Here is what I got
In the body for master.ked from which all the users.kid gets derived
has the following

    <div py:if="tg_flash" class="flash" py:content="tg_flash"></div>
    <div py:replace="[item.text]+item[:]"/>
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class Users:
    @expose(template="tutorial.templates.users")
    def index(self):
        users = model.User.select()
        return dict(users=users)

    @expose(template="tutorial.templates.user")
    def add(self, auser):
        auser = auser.strip()
        auser = auser.replace('\x00', '')
        auser = auser.encode('utf-8')
        if auser:
            try:
                user = model.User.byUser(auser)
            except model.SQLObjectNotFound:
                oUser = model.User(user=auser)
                flash("User %s added!" % auser)
            else:
                print("User %s already exists!" % auser)
        else:
            print("User must be non-empty!")
        raise cherrypy.HTTPRedirect('index')
-----------------------------------------------

class User(SQLObject):
    user = StringCol(length=100,alternateID=True)
-----------------------------------------------
Page handler: <bound method Users.add of <tutorial.controllers.Users instance at 0xb6cebb4c>>
Traceback (most recent call last):
  File "/home/local_linux/lib/python2.4/site-packages/CherryPy-2.2.1-py2.4.egg/cherrypy/_cphttptools.py", line 105, in _run
    self.main()
  File "/home/local_linux/lib/python2.4/site-packages/CherryPy-2.2.1-py2.4.egg/cherrypy/_cphttptools.py", line 254, in main
    body = page_handler(*virtual_path, **self.params)
  File "<string>", line 3, in add
  File "/home/local_linux/lib/python2.4/site-packages/TurboGears-1.0-py2.4.egg/turbogears/controllers.py", line 334, in expose
    output = database.run_with_transaction(
  File "<string>", line 5, in run_with_transaction
  File "/home/local_linux/lib/python2.4/site-packages/TurboGears-1.0-py2.4.egg/turbogears/database.py", line 260, in so_rwt
    retval = func(*args, **kw)
  File "<string>", line 5, in _expose
  File "/home/local_linux/lib/python2.4/site-packages/TurboGears-1.0-py2.4.egg/turbogears/controllers.py", line 351, in <lambda>
    mapping, fragment, args, kw)))
  File "/home/local_linux/lib/python2.4/site-packages/TurboGears-1.0-py2.4.egg/turbogears/controllers.py", line 378, in _execute_func
    output = errorhandling.try_call(func, *args, **kw)
  File "/home/local_linux/lib/python2.4/site-packages/TurboGears-1.0-py2.4.egg/turbogears/errorhandling.py", line 73, in try_call
    return func(self, *args, **kw)
  File "/home/ma2/raju/turbogear/tutorial1/tutorial/tutorial/controllers.py", line 53, in add
    flash("User %s added!" % nuser)
NameError: global name 'flash' is not defined