zorab64,
WWII? I believe that the term dates back to the First World War, when the RAF was formed 1st April 1918 and issued their uniform the colour of crab-fat grey. The term was already in use from c.1910 to describe the grey paint used on warships in the Royal Navy, but as you state, it derives from the colour of the ointment used by the RN for genital lice
Sometimes we accumulate all sorts of useful information