[ I cannot create an account on trac/wordpress either ]
iTerm on ppc and x86 (32-bit) both seem to need an environment variable set (which can be done in ~/.profile or ~/.MacOSX/environment.plist):
DYLD_LIBRARY_PATH=/Applications/DarwinPorts/iTerm.app/Contents/Frameworks/Growl.framework/Versions/A/
it's not the best solution to have global environment variable for a fix like this -- is there a better way?