Stumped with Friendly URLS

I am not sure if this is something because I have it in a subdirectory for the time being until I have the site going live. But I keep getting a This webpage has a redirect loop

The webpage at http://www.domain.org/index.php?q=example.html has resulted in too many redirects. Clearing your cookies for this site or allowing third-party cookies may fix the problem. If not, it is possibly a server configuration issue and not a problem with your computer.

I turned on the friendly urls in the Admin. And modified the .htaccess file. But same result. Suggestions?

Thanks!

also this is for Revo 2.0.4 and running on an Apache Server.

Well I have it working in the root directory but not in a subdirectory - so no worries. Will just work off the root.

Thanks!