surely the original rating depends partly on the cooling of the module? same with overclocking a CPU - it may fry or be unstable, unless you add extra cooling, then it can work fine.
jasturbo, most of that doesn't sound right - the dot is kind of a rectangle shape yes, as with most low power red diodes i've seen, but the rest - the colour difference is not meant to be huge, but it is the difference between a cherry-red and a slightly orangey-red, kind of like the colour of the lit end of a cigarette. it's certainly very noticable to me. as for not being much brighter, that really surprises me. are you sure you didn't order the class II (ie <1mW) one by accident? can you see a beam in darkness? (it's pretty hard to see on mine, but putting the laser by the side of my head, up near my eyes - pointing away obviously! - lets me clearly see it)