I trust Ruben to have legit stuff, so I was wondering if anyone knew how such a thing came to be and how many there are around? This is the only one I remember seeing for sale in the last 15 or so years Ive paid attention.

I dont know the full back story behind M16s with gov property markings but i have seen them for sale on multiple occasions. From what i understand they are kind of rare but are legit and of no legal concern.

You can buy colt AR15s they are marked "law enforcement" and "Government Property"  This is just a guess but maybe they have overrun from government contracts and sell to the civilian market or to police agencies that eventually sell to the public. Thats probably how it happens now with AR15s and prior to 1986 it could have happened to M16s, which would explain why they are so rare.

I heard there are only 6 exist . I have two, lucky me

I have been looking for a M16 for over a year now and Ruben has had multiple "gov marked" rifles in that time. I wouldn't think they are extremely rare with as many as he has had.

This is an A2, which makes it more rare...

$40K.
I guessed $36K before looking it up.

Same as normal colt M16's the A2's are more rare them A1's. I've seen them a couple of times OP. Not the rarest of the rare, but not the most common either.

Ahhh....yes I missed that A2 part