Washington, Feb 25 (NationPress) The United States has enacted sanctions against a Russian exploit broker and several affiliated entities, accused of obtaining and trading in stolen American cyber tools. This move marks the first enforcement under a newly established law designed to safeguard US intellectual property.

The sanctions specifically target Russian national Sergey Sergeyevich Zelenyuk and his firm, Operation Zero. This announcement coincides with a criminal case against Australian national Peter Williams, who admitted guilt last year for stealing proprietary cyber tools from a US organization and selling them to Operation Zero.

The State Department indicated that it is sanctioning one individual and two entities under the Protecting American Intellectual Property Act (PAIPA) due to their involvement in the theft of trade secrets from US persons. These sanctions represent the inaugural designations under this law, supported by concurrent measures from the Treasury.

“The theft of trade secrets, especially pertaining to sensitive and emerging technologies, poses a significant threat to US national security and economic well-being,” stated Principal Deputy Spokesperson Tommy Pigott in a statement released on February 24. He emphasized that such theft “endangers US national security, jobs, companies, and investments, costing the US economy billions annually.”

Simultaneously, the Treasury Department’s Office of Foreign Assets Control (OFAC) designated Zelenyuk and Matrix LLC, operating as Operation Zero, along with five related individuals and entities.

The Treasury's report indicates that Zelenyuk and Operation Zero are involved in the trade of “exploits” — snippets of code that leverage software vulnerabilities to gain unauthorized access to or control over devices. Operation Zero reportedly acquired “at least eight proprietary cyber tools” intended solely for US governmental use and select allies, which were stolen from a US firm and subsequently sold to “at least one unauthorized user.”

“If you steal US trade secrets, we will hold you accountable,” asserted Treasury Secretary Scott Bessent. “The Treasury will persist in collaborating with the rest of the Trump Administration to protect sensitive American intellectual property and bolster our national security.”

The sanctions come amid an ongoing investigation by the Department of Justice and the Federal Bureau of Investigation concerning Williams, a former employee of the impacted US company. He confessed to stealing proprietary cyber tools between 2022 and 2025 and selling them to Operation Zero for millions of dollars in cryptocurrencies.

The State Department has also imposed sanctions on a related UAE entity, Special Technology Services LLC FZ, under PAIPA. This legislation empowers sanctions against individuals who knowingly engage in, or benefit from, significant theft of US trade secrets when such actions threaten US national security, foreign policy, or economic stability.

As a consequence of these sanctions, all property and interests of the designated individuals within the United States, or under the control of US persons, are blocked.