SharePoint does not like using Universal Groups when you add an AD Universal Group to the SP Group. When you change them to Global groups, everything works fine Also when you give the group direct permissions it doesn't accept

SharePoint 2013 - Image Rendition http://blogs.technet.com/b/meamcs/archive/2013/05/27/sharepoint-2013-image-rendition.aspx?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+yahoo%2FZfiM+(Team+blog+of+MCS+%40+Middle+East+and+Africa)