That is my recollection as well. Back then, North American Fallen members spent most of their c-RPG time being accused of homosexuality by ATS members on ATS administrated servers and we had no love for them. I merced for LLJK until I went inactive. I just want to add that Smoothrich is a bit crazy and his theories are wildly inaccurate at times, like one of those conspiriousy theorist types.
I had significant problems with the Fallen organization, mostly due to ineptitude, sleaziness, and general untrustworthiness in all of my dealings with them. Fallen_Loki was certainly one of the worst leaders in Strategus. All they did, and often still do, was leak plans told in confidence to instigate proxy wars with vassals, backstab people, never help allies, refuse to merc for supposed "friends" unless directly paid, letting Tears of Destiny be a diplomat who treated everyone with even more arrogance and belligerence, turning more clans into a "Fuck Fallen" attitude.
So instead of addressing any of these problems diplomatically or you know, by not being a dick in general when we talked about it, Loki literally began saying a Fallen member has a family involved in middle eastern oil business, some sort of Saudi Arabian bullshit. He began ordering this guy to pay "donations" to LLJK financed servers upwards of 300 dollars a month. Also this was admittedly part of hating ATS servers which everyone could agree were as poorly administered as anything could be. But stooping so far as to bribe a clan of somethingawful posters with saudi oil money over internet horses political stability is about as hilariously weird and pathetic as you can get.
I've never even posted a single "theory". I just write things that happened to me and my opinion on those involved. One opinion is Fallen is one of the most embarrassing gaming organizations I've seen, and are probably the least liked clan in all of cRPG. Of course there's cool members, but considering things like Loki's former leadership or everything the severely autistic Tears of Destiny has ever said or done, it is pretty much a disgraced clan.