I think BTC/BTC2 is a bad idea. It's almost like mtgox when they suspended USD withdrawals.
It's nothing like mtgox. New BTC withdrawals would work just fine, it's just the old users who can't withdraw their old BTC, except that with this solution they maybe can. If the admin doesn't do anything, they will never get any of their money or it will take a long long long time.
Admin should have wound back all trades. Users should not be responsible for covering the shortfall.
Little late for that. That has already happened and something needs to be done. Halting all trading and stopping the whole exchange won't do shit towards getting the users paid. The admin obviously can't pull 30 BTC from his ass, especially in india where 1 BTC is a hefty months salary.
Do you maybe have some constructive criticism against the idea or does someone else? Feel free to come up with better ideas and share. I for one would like to get my BTCs out.