Don't think it is still there. I wandered back (not because I wanted to repeatedly use the exploit (I'm already "done" with most of the playthrough and hit level 37 legitimately), but to see it once, and the quest giver had *no* talk option at all. Only after coming back with both the "crimson" sash and the "item I shall not describe" would he talk again and it was quest over.
Odd that Geralt never commented on an unusual use of the colour "crimson" ~ more normally a red hue.