Separate directories for web files and CI files

Try adding a rewritebase to your htaccess.

RewriteBase /PROJECT/

What do you have for your base_url in config? http://localhost/PROJECT/ ?

I had a rewrite base in there at one point (it was just /PROJECT/) but it was causing infinite redirects whixh of course Apache wouldn't tolerate.


And yes, my base_url was http://localhost/PROJECT/, though I think I read somewhere that you should leave base url blank if you're using rewrite. Or it might have been index file? 

Thanks for the help.