I have a first year Universal with 4 digit serial number. It is all GI parts with the exception of the trigger guard, stock, and receiver (which is marked Universal). It is exceptionally reliable, so much so that I keep it as a HD gun upstairs.
Anyway, everyone I’ve seen, including my 2 (had a later gun which was beyond garbage) had a pinned on front sight like GI Guns. I suspect yours is some after market sight used by the company to assemble guns for sale. Later guns did not use GI parts, but parts of Universals own design
The later guns were completely changed to use a 2 spring operating system and were better used as tomato stakes. If you have one of them, you might be able to get rid of it to the unknowing panic buyers.
My friend and I collect M1 carbines, among other things. So we have seen plenty of examples of them.
I suspect you front sight is glued on or rusted in place. To remove it, get a piece of wood and try to tap it off, or hold a piece of wood against the sight and tap it with a hammer.