I think the tl;dr goes something like this:
1. Quickseller is an untrustworthy account trading (the basis by which many scams have been perpetrated) forum member with a long history of extremely shady behaviour, including fraudulent misrepresentation (self-escrow).
2. By his own actions, Quickseller cannot be trusted within this community and gullible newbies especially should have the means to be readily alerted to this fact when reading his posts or interacting with him directly
3. The scammer flag forum mechanism is considerably more profound a marker of a forum member's reputation than trust ratings and should only be used by a victim to assert an actual fraud or crime has taken place
4. However, Lauda,
and others, have used the flag mechanism to highlight forum members who are generally considered to be extremely shady in order to alert those who may be unaware
CjMapope alleged the following, but later withdrew it: Due largely to the factors mentioned in this topic, I believe that anyone dealing with YoBit is at a high risk of losing money, and guests would be well-advised to avoid doing so. This determination is based on concrete red flags which any knowledgeable & reasonable forum user should agree with, and it is not based on the user's opinions.
Support: Timelord2067
Opposition: (None) Active. Support | Oppose
5. Theymos is pissed that the flag system is not being used solely by victims of an actual fraudulent or criminal act
6. Lauda withdraws their flag for Quickseller
7. Theymos thinks Lauda should be considered as untrustworthy for having used the flag mechanism the wrong way
I'm going to take it as Lauda figured Quickseller deserved a large painted sign above his profile alerting all to the fact he is and has long been a shady fuck, but erroneously employed the scammer flag in order to do so. I don't think that warrants flinging their trust ratings out of the window quite yet.
I also think that Theymos seriously underestimates, or perhaps not, the weight of his authority when sending DM's to people 'recommending' an action be taken. While I do understand why he would be alarmed about the flag system being misused, it is likely that many of those who have done so took the action in the belief it was warranted in order to serve as a warning to others based on their prior knowledge of that forum member's past actions.