I have a module which contains a datagrid that connects to the
database. It works, no issues. The problem comes when the Flex Builder
3 in design mode access the swf reference in the module loader and
displays a popup saying there is an http access error, obviously
because the design view cannot access the php routines, so displays
the connection popup. 

The problem is it does not go away and renders design view useless.

Has anyone encountered this? Do you know how to correct it? To
replicate, create an application from a database and move the
generated mxml contents to a module. Close Flex and reopen - the error
will now appear.

Thanks,

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