Most likely the "mis-match" here is because your source is Unicode: try reading with Encoding.Unicode option: [
^].
Also, make sure you are using a Font for the Label that supports Unicode, like 'Consolas.
In the code you show here, there is no real "organic" reason I can see to read the file line-by-line, and use of addition of Strings is going to run the use of memory way up.
Consider reading the whole file at one time.
fyi: a Label is a "strange" choice for a Control to display the
entire contents of a file.