file format is not correct: unsupported tiff image depth
In this case, the user had converted a JPEG image to TIFF with the xv image utility. She didn't realize that she had generated a 24 bit TIFF file. Attempting to import this image into Draw resulted in the error message above.
Note that IslandPaint offers two TIFF file formats:
The TIFF filter handles only 8 bit images. To load a 24 bit TIFF, use the "TIFF 24 bit" file format. Using this format results in calling a filter which will convert the 24 bit TIFF to 8 bit via a color dithering algorithm. The loaded image can then be exported to IslandDraw.
Note: IslandPaint 4.1 (from IPS 6.0) has full 24 bit color support.