I'm having similar issues. I only have one subgroup/subforum/subcategory (I see at least 3 different names for the same thing). It's a very simple permissions setup, where I only want the subforum to appear to Members. It seems, though, that it it will remain invisible to EVERYONE (including me, the administrator) unless I choose to make it viewable by "anyone".
http://csuf.computersforpeace.net/Brian