TS 7.3.1, OD, LSDS/LSCS on Linux. OD installed as root, system umask is a normal 022. [...].
It sounds like some process is running under a umask of 000 rather than root's 022.Though perhaps rpoulin's information about it being a Java quirk might be the source of the issue. Let us know if/when you get an update from Support.