The move follows several complaints from Chillingham residents, west of Murwillumbah, who claimed they were upset the operators of the community had not sought council approval for the development.

But a spokeswoman for Dead Gum Revival Inc, who have advertised the alternative wigwam world on the Internet, said after Wednesday night's council meeting her group was the victim of 'small-town prejudice'.

"We don't believe we are doing anything wrong," said Kiri Sta.

"There is a lot of prejudice and in a shire with high unemployment they shouldn't try to prosecute people who are trying to create employment.

"We are taking considerable steps so it doesn't turn into a drug den.

"We're not into people hanging out and smoking dope."

A council report on the secluded subdivision described the living conditions in the three-tepee village as primitive but adequate.

"There does not appear to be any immediate elevated risk to the environment or public health in the short term if adequate, management practises are observed," the report stated.

But 50 Chillingham locals, who packed the public gallery, said they were unhappy the alternative entrepreneurs had not gone through the right processes before developing the community.

"We're not happy they have developed this community without telling anyone," said Chillingham resident Bernadette Barnes.

The spokesperson, Bernadette Barnes, said the organic permaculture village, proposed for 52ha, would be incompatible with the surrounding farms.

"It's located in the heart of our banana and cattle grazing area and such developments are usually incompatible with such intensive agriculture," she said. "We are concerned with issues such as loss of income, devaluation of our properties, sanitation and health, effect on infrastructure, privacy and impartiality of Council planning."

Prior to her address Dead Gum Revival member, Kiri Sta, told Council that the group would not object if their neighbours used chemical sprays.

She said Dead Gum Revival was dedicated to providing selfemployment for low income earners and had begun fruit and vegetable growing, poultry fanning, and some grazing of cattle.

In the future members hoped to move into larger scale cropping to provide feed for poultry, aquaculture and sheep and goat fanning. Council will next week consider whether it will take action regarding the teepees (which are not approved). And It will soon consider an application for a dwelling (to be used as a common house) and an application to use the teepees while this is being built. Applications have not yet been made for future stages of the community, as outlined on the Intemet.

The Internet promotion said up to 15 dwellings would be clustered in three sites and a resident artist's studio established.

It also said: "Residents of Gabalah should be sensitive to the needs of their neighbours to earn a living out of agriculture and to their historic connection to the area dating back from the original European settlement."

Kiri Sta, a member of the fledgling community, told a Tweed Shire Council public access meeting that members were dedicated to providing self-employment for low-income workers.

"The early pioneers came here to exploit our rich timber resources but times have changed and we're a new sort of pioneer who are responsive to resource depletion," she said.

"Our community is a non-profit organisation dedicated to the environment and sustainable living, and the only way we can do this is to live and work on the land."

Ms Sta conceded up to four people were living in three tepees but the community --- Dead Gum revival Inc --- was seeking council approval to build a house to replace the illegal dwellings.

Her appeal follows growing disquiet among banana farmers surrounding the 53-hectare property at Chillingham who fear the growing commune may interfere with traditional farming practices.

Farmers' spokeswoman Bernadette Barnes said a meeting decided to oppose the settlement because stresses on existing roads and other infrastructure, potential sanitation problems and adverse impacts on property values. She said local residents were disturbed that the commune had set a web page on the Internet which contained information on ways groups can take councils to court, including case studies.

"We also believe that their plans to sustain themselves on the land is simply a pipedream," she told the access meeting on Wednesday.

AN alternative-lifestyle organisation which has built a teepee village in the Tweed hinterland says it has no council planning approval for the internationally advertised development.