TWEED Shire Councillor Katie Milne has been refused the right to appeal a court's ruling she defamed billionaire Gold Coast property developer Bob Ell.

Cr Milne sent a "Letter to the Editor" to media outlets and individuals in March, 2010, calling for an independent review into Mr Ell's Kings Forest and Cobaki developments near Tweed Heads.

The letter suggested Mr Ell had used political donations to get the projects approved and further implied he had questionable business dealings with murdered Sydney standover man Michael McGurk.

Mr Ell successfully argued the email had damaged his reputation.

Cr Milne was ordered to pay $15,000 damages in March.

She watched on as Sydney Supreme Court Justice John Basten denied her request for an appeal on Friday.

-APN NEWSDESK