My brother-in-law is military and was out there at that time. I asked him if he knew what the UK military view would be, taking the circumstances at face value as told by James D.
He told me that he was sure that a UK soldier wouldn't be allowed to keep the dagger. That if they did disclose it to their superiors it would be confiscated, and if they tried to smuggle it out and were caught, they'd be in serious trouble.
I find it difficult to imagine that the US regulations would be much different?
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