That is rather odd, in summary the outputs you have provided tell me this:
- For the current users usergroup you have assigned "1,2,3,4,5,6,7,8" as the auto subscribe forums.
- The current user has manually subscribed to forums "2, 4"
The mod has then mashed these together and checked the permissions on each forum ID, it has then removed forums "5,6,7,8" as the current user does not have permission to view and then created the final display list with forums "2,1,2,3,4" *. What this means is that when the mod does its DB query to get thread titles it will only look for titles in forums:
1,2,3,4
If there are no threads in these forums (or they don't exist) then you will get the message you are seeing.
Is there any chance you could PM me with the URL of your board? I will setup a test user account and have a look around.
* The duplication of ID 2 is a minor bug, but doesn't explain this.