A feature in the Daily Mail reported how a social group for transvestites, called Fabuliss, has been hiring a room in the Millennium Hall for social events.

But the article has inspired scores of messages of support for the group on Liphook's community website.

Meanwhile Mark and Linda Bryant, who run Fabuliss, claim the article has ruined their lives – but they have been heartened by the support from the local community.

The Millennium Hall is run by Bramshott and Liphook Parish Council, which lets it out to a wide variety of user groups.

Liphook Scouts and Guides have their headquarters in the building, which also houses a community police office.

Parish council chairman John Tough told the Post: "As far as the council is concerned, there is no problem with these bookings (by Fabuliss).

"We operate totally within an equal opportunity policy and we do not discriminate against anybody.

"But we do understand that people may have issues they are worried about and we will listen to them and respond.

"We are carrying out an investigation to find out whether our arrrangements have been adequate." Cllr Tough stressed that he had not been contacted by anyone who had been worried by the fact that Fabuliss holds events in the hall, and he had spoken to several people who had voiced their support.

"In fact the reaction has been quite reassuring – I have been pleasantly surprised at how much positive response there has been."

Parish council vice chairman Barry Hope – who stressed that he was voicing his own opinion, not that of the council – said he doubted whether the council would complain to the Daily Mail or the Press Complaints Commission.

"My own view is that it is unlikely and would not serve any useful purpose," he said.

Mark Bryant – whose photograph appeared alongside the article – declined to speak to the Post.

On the Liphook community website, he wrote: "My life is a total mess through this. Thanks a huge bunch to the Daily Mail for ruining an innocent person's personal reputation."

He added: "Thank you Liphook for your support – I am truly touched."

Also on the website, Linda Bryant wrote: "Fabuliss was created so that cross dressers, and indeed any transgendered person, can meet and relax with like-minded people, together with their friends and families in private and comfortable surroundings.

"Why would we need to hide away and feel ashamed – there are no laws broken, no improper dress or behaviour. Cross dressers meet in many such venues across the country and are rightly proud of their right to dress and live their lives as they choose.

"Diversity makes for a more interesting and warm society.