I don't know where I got this, but found it when I needed to do some Unicode conversion from the registry.
In the library, the particular VI I found of interest was Convert UTF16 String To ASCII.vi If you used regular Read From Binary File and used U16 as your type, then passed the array into this, it should convert into the proper ASCII string.
It uses the WinAPI to do conversions. So there shouldn't be any surprises (assumign your using Windows).