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I know that VATS (Vehicle Anti-Theft system) has been an ongoing issue with the Corvette community, especially the C-4 group, myself included. When the system stops functioning the way GM designers and engineers planned it can be the most aggravating and misunderstood problem we will encounter. With that said, I wanted to post a link from Lockmasters Inc. that describes the system, how it works and when not functioning, what problems to look for. I wish the author, Steve Young had written the FSM since you do not have to be an MIT Graduate to comprehend.
Some of the info in that article is not correct. In early cars the VATS system does not control the SECURITY light. I think that changed in 1990 (not sure). As far as I know VATS never affected fuel pump operation. If you have a car older than 1990 then the battery voltage does not affect the VATS module's ability to read the key resistance.
I have been thinking of buying a keyless entry system for my 92. No alarm, just want it so I don't have to use the key to unlock the door. Will VATS have a problem with that?