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"Purgatory" is Battler's mind as he tries to to find out what the truth is. Everything in the meta world could be some metaphorical construction of Battler getting his ideas straight of what might or might not have happened. For all we know, a game was made that wasn't entirely deadly and someone hijacked it. Maybe Battler himself is the one that killed everyone! Maybe it really was Kyrie and Rudolph! We dont know, what we do know is that someone wrote some tales. Thats really all we can be sure off.
Of course there still might be the possibility that Beatrice actually carried out a murder game. This doesn't make much sense in light to how Battler has acted or how some of the later scenes with Ange play out.
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