This has come up on the smallpicture-user mail list.
I can give you all the info you need on this one, but you're probably not going to like it. ;-(
In order for Fargo to communicate with WordPress, we have to go through a gateway.
The software on this gateway is old. It does not understand unicode. So as long as you stick to 8-bit characters, you're cool. But when you use characters outside the 8-bit set, you can be pretty sure it will get mangled in transit.
I can't do anything about this. However if someone else wants to create a gateway without this problem, I can make it so that Fargo can talk with that gateway. The person doing this would have to be a reasonably skilled server developer, and have a server to run the gateway on.
If someone is interested in doing this they should contact me off-list, or if you prefer, post a comment here.