Probably you missed the option because it's in "Settings" section of Skype and it works only when your availability is not offline for the skype account (isn't this a strange decision )

And BTW i do not think anyone should make comments on your approach of asking such questions, nor on your individuality... A direct short answer would be sufficient...

Anyway the other option - for turning off video calls - is suprisingly in the settings of the Contacts application

Considering a thread about glitches/bugs in PR1.2 there is a dedicated thread really but a glitch is also this:
http://talk.maemo.org/showthread.php?p=698939