For people who are interested in how the 100% fiat settlement is calculated, here's a worked example:
Deposit 10 BTC on Sep 29th, considered $1430 deposited
Withdraw 1 BTC on Oct 2nd, considered $127 withdrawn
Deposit 1 BTC on Oct 16th, considered $154 deposited
Added together: 1430-127+154=$1457
The $1457 figure would be your re-denominated balance if you choose to accept, which is ~100% of the fiat value. Payment would be made in BTC using the latest MtGox ask.
Would this not make anyone think that, hmmm... supposedly coins were stolen. However, with the 500% rise in BTC... he magically has enough coins to cover the fiat value? Hmmmmmm