If I have understood correctly (forum research)
the privacy settings are ONLY valid for Dasboard Newsfeed and NOT for Main Newsfeed?
So if i dont switch off the Newsfeed in Main the user have no real privacy (although everything is set to "only friends" by user, everything is displayed in Main Newsfeed) Dashboard Newsfeed works with "Privacy Settings" correctly.
What can i do if i want that all user have the chance to see the Main Newsfeed (where more action is) without privacy problem?