I have a "Heartbeat Testers" group set up as a subgroup of my "Life Ninja Academy Members" group. When I view the directory, it only shows "Heartbeat Testers", so I thought somehow they weren't getting access to the other group, but when I go to "Manage Groups", the Life Ninja Academy group lists them as members (with access via the Heartbeat Testers group). The "All Users" area should show every group they have access to.