"Faeriewylde is what you're speaking of. OTOH, their forum/gallery servers are located in California, and their store is on a separate domain and site completely."

I can only go by what the WHOIS lookup tells me, and that reports faeriewylde.com as registered in Nashville.

As for the separate store hosted on another domain, that is something all the other sites could have easily done, too.
But I guess it was too good an opportunity to get rid of the little ones while still looking good and blaming them all on the CC companies.

@Sean: I never said that the CC companies were NOT to blame. (See above)
My point is that there would have been a way of keeping a store without the need to declare a whole Poser genre to be "entartete Kunst".