uhh that's not the 3 red lights issue though, that's just a minor issue of reports that a specific drive brand scratches discs. The 3 red lights issue is simply a heatsink issue as I said. It's an easy fix for MS. Hell if you aren't under warranty then there is even tutorials on how to fix it yourself if you feel comfortable enough about working on electronic internals.
The TC got the ring of death, not scratched discs.