How dare she call me a slightly drunk wordsmith from Tuscany?
Jokes aside, while it might not be used for swearing in that specific form, that doesn't mean it doesn't sound like a curse. "Dio scoria" would roughly translate to "God is toxic waste", anyway, so you can see how that sounds (it would also feel like the isle is called "God's dross/refuse", by the way).
Again, I think it's a minor inconvenience at best, but it sounds a little ridiculous in Italian, and it clashes with the game's tone, in my opinion.
About Sine Requie, while it's not my kind of game, and I don't follow it very much, another roleplayer I asked told me, and I quote: "Sadly, yes, it still is."