You caught us doing some quick maintenance, temporarily restricting your repository to read-only access.
Issue #399 resolved
Steps to reproduce:
Create one repository groups (Group1)
Make repository group private (default->none)
Create one user (User1)
Create user group (UserGroup) and add User1
Add UserGroup to Group1 and give read permissions
"user1" can not see the repository group "Group1"
Note: * I have tested with RC 1.3.3 + your modified beta user.py of yesterday