That may be true.
Assuming that I remove the subdomains and modify all links to www.example.com/blog.php?username=username.
Am I still going to get a PR drain? My main intention for the Alpha Index was to get blogs indexed, but apparently it seems I can't do that without adversely affecting my site.
By the way, Google is still freshly scanning my site each day, so it may indeed not be a penalization after all.
On top of that, I have moved to page 14 (from page 15 previously) for the term 'free blog'.
However, if you were to search allinanchor: free blog [google.com.sg], I notice my site at a very high position on the 1st page. While I understand that allinanchor positions do not accurately represent the SERPs, but the allinanchor page [google.com.sg] does accurately represent the SERP for the term 'free blog' just before my site was dropped.
Moreover, my site is still having a pagerank of 6. Unless, of course, Google is not updating its PageRank in the toolbar.
Finally, I have heard that PageRank does not adversely affect the SERPs (at least not to a large extent). For such a large drop (page 1 to page 15), do you think it is still a PR drain, or do you think it points to a penalization?