Why do I receive a 'gear' icon instead of the Apple icon when starting up iPad2?

Hello all,
I searched the iPad community forums with no luck. My younger brother won an iPad2 at his 20th anniversary High School reunion, since he already had an iPad2 he suggested we give it as an Anniversary present to our parents. Since our parents are going to Italy this fall I thought it was a great idea as they will be able to use it as a resourse while traveling as well as keep us updated regarding their travels. (They have been amazed and curious at my iPhone 3GS and our iPads so we thought it would be great way to introduce them to a tablet.)
When they first turned on the iPad2 last night we received an image of what appears to be a gold/bronze mechanical gear instead of the familar Apple logo. Instead of the normal home screen we recieve the following screen. (http://i811.photobucket.com/albums/zz32/ScotchManGSO/ipad2screen.png) The home screen was initially fun to look at due to the pop culture references built into the icons. (Being a Star Wars fan the 'AT-AT' Walker icon was my favorite.)
Unfortunately the fun quickly wore off as we could not restore the iPad2 to the factory defaults using iTunes. (By the way, the iPad2 capactiy only indicated 11GB instead of 16GB.)
My best guess, although I just entered the world of Apple back in 2009 with my iphone purchase, is that the iPad does not have the iOS loaded. In moving through the applications it appears that the applications are designed to test the iPad display, charging, gryoscope, etc.
Any help in restoring the iPad2 to the normal home screen would be appreciated greatly!

What you have there is either a jailbroken unit with some crazy custom UI or an eastern knockoff. Give us some photos of the ipad itself, mainly the back and some experts can help.
If you plug it into iTunes does iTunes even acknowledge that an ipad is connected? If it does then try a restore.
Failing that, head down to an apple store and see what they can do for you.

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