Hi Mal, thanks for posting the file.
Nothing seems to be wrong with the model - your image there looks like the kind of glitch that can happen if a program tries to create smoothing information by averaging polygon faces together instead of using the information directly from the original solid model. In areas around fillets where there are small polygons along side of larger flat ones that kind of averaging does not tend to work well.
If you export to OBJ format instead, then I think that Vue will likely be able to use the smoothing information that is stored in the file (which comes directly from the original model and so is much more exact) and that should eliminate these kinds of shading problems.
So could you please try an OBJ export and see if that gives you better results?
If it does not seem to be better, please try switching the "Weld vertices along edges" setting to the opposite (expand the Meshing options dialog by the arrow in the lower-left corner to see this welding option) - with welding off it makes a somewhat more simple structure to the OBJ file and a few programs will only import the smoothing information when this setting is off (I don't know if Vue is sensitive to that or not).
Also when you import OBJ into Vue, if there is any options that say something like "Enable vertex normals", then make sure that is enabled.
- Michael
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