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it seems that allowing a certain group access to just 1 part of the system module fixes the error and the admin menu link shows then..
it looks like isAdmin is only checking if the user/group has access to at least 1 section of the system module and is ignoring the modules admin..
if u want a quick workaround and can trust the guys who you give module admin rights too, then simply just give them access to 1 setting from the system admin part (ie user ranks, as there's no major loss there if it's tampered with)
maybe i could just hack the admin/system part and put a tick box in saying "group is allowed admin access" so when u tick it it thinks u have access to system module too. that way they'll get the admin menu link, but will only be abe to edit the modules they have admin to, altho the system module will be visible they won't be able to edit anythin..
bad way of going about it, but could work..