Ex-US cyber intel exec pleads guilty to selling spy tools to Russian broker

By Raphael Satter

WASHINGTON (Reuters) -A former executive with U.S. defense contractor L3Harris has pleaded guilty to selling digital spy tools to a Russian broker, the Justice Department announced Wednesday.

In a statement, the department said Peter Williams, a 39-year-old Australian, pleaded to two counts of theft of trade secrets. It said he took "at least eight sensitive and protected cyber-exploit components" from his job and sold them to "a Russian cyber-tools broker" that publicly claims to resell cyber spying tools to customers including the Russian government.

The statement did not identify Williams' employer by name, but UK business records identify him as a former executive with L3Harris Trenchant, a subsidiary of the American defense firm L3Harris, Reuters has previously reported. 

Reuters was unable to ascertain the identity of the Russian broker, which the Justice Department did not identify. The details of the "cyber-exploit components" were also left undisclosed, although the department said they "were meant to be sold exclusively to the U.S. government and select allies."

A lawyer for Williams declined to comment on the plea hearing. The Justice Department did not immediately return emails. L3Harris declined to comment.

In cybersecurity parlance, an exploit refers to a piece of code used to take advantage of a software vulnerability, typically for the purpose of espionage, theft, or sabotage. Exploits are a key ingredient in cyber surveillance software and they're typically closely guarded by their developers. Higher-end exploits can fetch hundreds of thousands of dollars or more in the murky international market for spy tools.

In the statement, U.S. Attorney Jeanine Ferris Pirro compared cyber brokers to "the next wave of international arms dealers." She said Williams' conduct caused over $35 million in losses and provided foreigners with cyber exploits "that were likely used against numerous unsuspecting victims."

(Reporting by Raphael Satter; Editing by Daniel Wallis)