OK, so now I have plenty of information to share. 
First off: the codec. It’s not DV, it’s MP[E]G.
FFMPEG’s verdict:
~/GreenSpot$ ffmpeg -i M2U00389.MPG
FFmpeg version SVN-r0.5.1-4:0.5.1-1ubuntu1, Copyright (c) 2000-2009 Fabrice Bellard, et al.
configuration: --extra-version=4:0.5.1-1ubuntu1 --prefix=/usr --enable-avfilter --enable-avfilter-lavf --enable-vdpau --enable-bzlib --enable-libgsm --enable-libschroedinger --enable-libspeex --enable-libtheora --enable-libvorbis --enable-pthreads --enable-zlib --disable-stripping --disable-vhook --enable-runtime-cpudetect --enable-gpl --enable-postproc --enable-swscale --enable-x11grab --enable-libdc1394 --enable-shared --disable-static
libavutil 49.15. 0 / 49.15. 0
libavcodec 52.20. 1 / 52.20. 1
libavformat 52.31. 0 / 52.31. 0
libavdevice 52. 1. 0 / 52. 1. 0
libavfilter 0. 4. 0 / 0. 4. 0
libswscale 0. 7. 1 / 0. 7. 1
libpostproc 51. 2. 0 / 51. 2. 0
built on Mar 4 2010 12:35:30, gcc: 4.4.3
Seems stream 0 codec frame rate differs from container frame rate: 59.94 (60000/1001) -> 29.97 (30000/1001)
Input #0, mpeg, from 'M2U00389.MPG':
Duration: 00:00:02.99, start: 0.108467, bitrate: 8764 kb/s
Stream #0.0[0x1e0]: Video: mpeg2video, yuv420p, 720x480 [PAR 32:27 DAR 16:9], 9100 kb/s, 29.97 tbr, 90k tbn, 59.94 tbc
Stream #0.1[0x80]: Audio: ac3, 48000 Hz, stereo, s16, 256 kb/s
At least one output file must be specified
~/GreenSpot$
MPEG isn’t really a problematic codec, so let’s look at some frames.
A picture is a thousand words:
Arrow shows the little green dot.
Another frame of a sample video, this time without an arrow so that you can see the movement of it.
Better yet, why not the video itself? It’s worth a million words! 
Raw footage here: http://www.sendspace.com/file/j1fwmt
And of course, the not-so-helpful Sony “support” reaffirmed my prediction:
So yeah - it’s basically the camera’s fault, and there’s no way to remove it on the camera. 
That said, can someone please tell me how to remove that pesky dot? 