I'm running WPMU 2.7.1 and BuddyPress 1.0.2
I created a group (as one of the members, not as admin) and everything went fine. Well almost everything. I was not able to create avatar but this was workaround:
http://mu.wordpress.org/forums/topic/11689?replies=3#post-77721
However that is not what is bothering me. When I tried to create another group I ran into HUGE problem. The new group I was creating was actually overwriting the one I created before. Any idea on how to fix this problem. I posted this on BP forums but there was no reply.
Cheers