Dear JGN what you have quoted is a verse from the Holy Quran i.e. word from Allh and not from prophet Muhammad (PBUH). Yes, it is correct and it catagorically asks Muslims not to complel anyone to embrace Islam. any Muslim who does not obey this is a sinner. Now your second point it is unfair generalisation by you that world wide Muslims are madly fighting to compel non believers accept Islam on the instructions of Mullahs (those who are really doing this are wrong) but a great Mejority is fighting against occupation, aggression, and voilation of thier rights like in Iraque, Pelestine, Afghanistan, Chechenia etc. because as a human principal Islam does allow its followers to defend themselves as well as others against such things and defence as you know also includes pre emptive striks on legetimate targets.
