Xitami does as well, but I don't know of any other server that does allow to display the "readme" file inside a directory as the leading text before the directory listing.
But in fact, even if no other documents then really public ones should be in that directory it seems to be better to not to use this feature of webservers but instead building the structure as required or requested only to the frontend, so you have for example a DB containing your files and can (just as large image archives do) let them browse the (virtual) directories like ftp but structured by keywords. In this way it's also easy to prevent others from even knowing of ftp-sections which aren't (or shouldn't be)of their interest and at least as an admin you'd get some fewer warnings about denied file access attempts.
Ok, I know thats beyond the scope of the question. just an idea. :-)

Have a nice day
All decision is left to your taste