Not sure if this is a bug or intended, but I think that the first person view height of Heavy Armor is somewhere in the real player model's belly.

You can clearly see this when you've got heavy armor and another player with heavy armor is standing next to you. Your view is then as high as his belly.

I did a search and couldnt find anything about it.

Yeah, this was a design decision. When the HA Model's height was fixed (3.1 or 3.0Final) we noticed this as well. We decided not to touch the 1st person viewheight, as it could lead to a whole spectrum of problems without adding a whole lot to the game.