INAL, but it depends. If your business is based on offering tortures, and their music makes you perform your work better, get better results from EITs and as a result, make more money, and they can prove it in court then its irrelevant that its been a "torture"; whats relevant is that you used in in a commercial way to gain something.
And that "something" would be very important to the court. In vast majority of cases, companies want to make more money. In case of Gov, CIA would argue that they dont make any money thanks to using your music. Heck, they could even claim non-profit status because AFAIK they do not produce monetary value; they produce intelligence.
Besides, in a light of recent developmentS that many important influencial people claim the entire program is illegal and some agents should be even in jail, some small claim suit from a tiny band is a peanuts to the CIA. And Im sure the Puppet knows this.
I feel its a PR stunt, because it takes a specific group of people listenning to dark music like this (other example Marlin Manson). So in this very busy and competitive business, I cannot imagine a better free advertise than "hey did you hear about Puppet?? Their music is soo cool they even torture people at Guantamo with it! We got to get their album asap!!"