Problems with the site were disclosed last week in an open letter to Instawallet that appeared on the Adaptive Glass blog. The letter described a security flaw on the site that affected 3,000 people. The problems affected accounts with fractional amounts of bitcoins up to about 100 bitcoins in them. The security flaw also affected Paymimum, Paytunia, Instawire, and Bitcoin Central, according to the post.
http://blogs.marketwatch.com/thetell/2013/04/03/bitcoin-plummets-amid-slowdowns-and-hacking-of-service-sites/I don't think he understands the problems were not related... whatever happened to instawallet was more than 100 coins.
