You misunderstood. FARR does see the inner icon in the group (of the first alias) but it doesn't show the icon of the group itself.
Here is another example. I created a group/alias to "C:\Program Files" named pf:
1000>>>pf>->C:\Program Files
When I write "p" however, I see it without the explorer folder icon:
As you can see the "pf" groups on #2 but the icon is empty. Now if I complete the group name to "pf".
Now you can see that the name of the alias gets the icon just fine.
Now what I wish would happen is that the first alias icon would become the group icon IF the group icon has otherwise no icon.
Thanks!