hi-shear lk-1200 Military High security lock torrance california 1983 RARE

Description

hi-shear lk-1200 Military High security lock torrance california 1983 RARE.
Please read carefully. Understand that I have only messed with the lock for about 10 minutes so I may not be using it correctly. Here is my notes:
Picture #11 shows the circled piece that moves. It needs to be in the position of picture #12 for the lock to open. The piece moves freely when rotating the lock. I am not sure if it is broken or an extra security measure. If it is not in the picture #12 position it will not open.
To remove the key does take some thumb strength and getting it in the right spot.
The key will not remove in the open position.
Please note I am not a lock guy.
For any questions please ask, thank you for looking.