Problem with Portfolio Pagination

The issue I am having is that if I go to my main page, to see the main list of posts, the first set will show up, but if I try to go to “page 2 or 3”, or “older” then it still shows the first page posts. It works fine on the Archives page, however.
The most recent posts, 9 as I have it set up, all show up on different pages that are supposed to show older posts.
The url of the site changes from example.com to example.com/page/2/ and so on, but the same posts show up.
Here is my code
http://pastebin.com/49Z70tNL