zshzn,
I believe you are leaving some context out of the story. Specifically, why the employee from security company X wanted the code in the first place. Either you are assuming that there is no other reason than incompetency or you have omitted the dialog that would lead you to that conclusion.

While there could be any number of reasons why the security expert wanted the program, did you consider the possibility that the expert suspected a flaw and was being polite by not asking in front of everyone? This isn't the only possible reason but it is the first alternative that came to my mind.