Did you read Departures post above?
What is the handle of systemlistview?
Declare this in your module:

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Public lngSysListView as Long

Then, in your NickGet function, place this code as your last line:

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lngSysListView = syslistview

Now, you are still not calling your getuserstatus function correctly. If you haven't edited this function from how it appears in the example, then it returns a string telling you the status of the nick. 1 is returned if it is red dotted. So, you would use it like this:

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If getuserstatus (lngSysListView , (List2.List(j)) = "1" Then
'    your code to remove the red dot
End If

This is just one way you could do it. there may be other more efficient ways.

One problem I foresee, that you will have to figure out yourself, is your code
getuserstatus(syslistview, List2.List(j))
If I understand what you are trying to do, List2 is your "Safe List". The index of the nic in List2 isn't going to have the same index as the nic in the rooms listview.