Petraeus Scandal: Paula Broadwell Stars in Gun Commercial

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Crane said the company has been developing the Kriss Vector – the weapon they were demonstrating, with a goal of placing it in the hands of military special operations teams, but to his knowledge had not yet landed a military contract. CIA officials told ABC News the company has not bid on a contract to sell weapons to them.

Crane said he does not know if Broadwell's ties to Petraeus had anything to do with her appearance in the video --- he said she may have had connections to other company executives that led her to them. But if her ties to Patreaus led the company's to put her forward as an unofficial spokesperson, he said he sees nothing wrong with that.

"Petraeus has a lot of power," Crane said. "I can tell you this – Kriss is not wrong to utilize her in that capacity. That's how all companies like that work. It helps to have contacts in certain areas of the government because [the military is] a closed customer. You use what you can."

Retired Army Col. Steve Boylan, a friend and former spokesperson for ex-CIA Director Petraeus, told ABC News Gen. Petraeus knew nothing about Paula Broadwell's appearance in videos for an arms manufacturer.

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