Somehow after i have been made the guild master of the thief guild and i receive the armor etc etc, every random thief i encountered outside the wilds has NO options of the following:
"Hey dont you recognise me i am from the thieves guild blahblah"

The result is the thief will say he saw u at the flagged ragon.

Not only didnt i get this dialog, but shouldnt that thief recognise me as guild master EVEN though i didnt wear an armor? After all, he recognised me in the flagged ragon. Ehh wth???

maybe they aren't a member of the guild, believe it or not, some thieves choose to operate outside the guild.

This. These thieves are freelancers. Lousy scabs!

Kill them, they're stealing your job...

They're a source of free unenchanted mages hood's as well. I've got a small stock pile so I can have multiple different enchantments.

That svcks.

So basically before you were GM you had the option and now it's gone?

So it's not cool to rob low level guild pawns but the freakin GUILD MASTER is fair game?

Sounds to me like that dialogue option was supposed to be replaced by something after you become GM and it just didn't get done.

They steal your job. As already said, kill them. Oh, but thieves don't kill... unless you're in the DB which every thief should be.