To do the converson from DOC or whatever format you will need to write a document  conversion program. Assuming you have a library that knows how to read the binary format being converted from and the flash  binary format to convert  to, then document conversion programs for SharePoint are not particularly difficult to create.

However, the second part of your requirement will be a lot more difficult. Normally you cannot restrict download & copy without IRMS. In this case normally a Flash file MUST be downloaded to the client to be played. The only capability that approaches this would be Excel Services where an Excel spreadsheet is convereted on the server to an HTML page on the fly. The HTML view of the page is then sent to the client for manipulation, but the XLSX file never leaves the server. You would have to write your own service that would serve the flash content up as a stream to prevent clients from downloading it. In all honesty I don't think you can meet this requirement without a massive programming effort.