My fiance is Iranian as well, but now a citizen of Norway. We've been waiting in AP for 1.5 years and our case just updated today to "Refused" as well.
From what I have read so far online from others, is that this was either a glitch in the computer system, or just a change in the way they note that you are in AP (for example, your case was refused at the interview, but still under AP, and not closed or rejected, hence, the Refused status.)
This seems to have happened to a big chunk of applicants today, so I am not going to worry about it, but just to be safe, I have sent an email to our embassy to double check.
Wow. Congratulations...finally I hear someone getting visa from Frankfurt embassy. Gives us hope too. Our ceac changed from "refused" to "administrative processing" few days ago. It says "mailed/available", so we shall see when it will change to "or" ...