crazy danish immigraiton

whoa! just received a call from the immigration services notifying me that my re-entry visa is ready for collection...

that lady:" since this is the first time you apply, we can only give you a C-permit, meaning that you wont be able to go to any Schengen states i.e. most places within the EU..."

me:" but i have a singapore passport, which means that i don't need a visa to go into these countries in the first place...**shocked and confused**"

lady:" no, you need a visa to go into Schengen states"

me:" but i had visited these countries without a Schengen visa before..."

lady:"......"

me:" well, it's ok. i will see you tomorrow during the collection."

hahahaha... what? pasting a piece of sticker (re-entry visa) into my passport instantly invalidates my passport, and revokes my rights to visit european countries without the need of a visa? think i need to clarify things with the immigration services tomorrow... crazy people...