Our permissions structure does not work like vbulletin. We integrate with the groups from the forum but that does not mean our product is going to work how you set or do things in your forum. That is a misconception that I see users make all the time. Our usergroup permissions are going to follow how we do permissions in our product. With that in mind it is simple to do what you want.
1. Create a new group in vbulletin and set permissions as you see fit.
2. You can resync your usergroups in PhotoPost and set that new sub admin group to have mod access.
3. As far as mods you can set that moderators have global permissions or assign specific mods to categories all that is done from our side.
PhotoPost did do an overhaul of its design and that was version 8. Remember our product integrates with 20 different products and is very feature rich. In fact there is no other product out there that is as feature rich and diverse as our product. That is just a simple fact but alot of the comments I see like yours come from the misconception they want things to be some vb