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News 2. Local News 3. Local Business 4. Business Two B.C. companies ordered to 'cease all operations' over national security concerns Ottawa has ordered the dissolution of Bluevec Technologies and Pegauni Technology following a national security review Author of the article: Cheryl Chan Published May 24, 2024 * Last updated 11 minutes ago * 3 minute read Join the conversation You can save this article by registering for free here. Or sign-in if you have an account. DroneA Burnaby-based anti-drone company was one of two B.C. companies ordered to shut down operations in Canada on national security grounds. Photo by Matt Rourke /THE ASSOCIATED PRESS Article content Two B.C. businesses have been ordered to cease operations by the Canadian government on national security grounds. Ottawa has ordered the dissolution of Bluevec Technologies Inc. and Pegauni Technology Inc. following a national security review, said Innovation, Science and Industry Minister Francois-Philippe Champagne on Friday. Article content He did not say what kind of national security threat the two companies pose, but suggested the Burnaby-based firms received foreign investment. Advertisement 2 Story continues below This advertisement has not loaded yet, but your article continues below. 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Sign In or Create an Account Email Address[ ] Continue or View more offers If you are a Home delivery print subscriber, unlimited online access is included in your subscription. Activate your Online Access Now Article content "The government's decisions are based on facts and evidence and on the advice of Canada's security and intelligence community and other government partners," said Champagne. "While Canada continues to welcome foreign direct investment, we will act decisively when investments threaten our national security." A ministry spokeswoman said it cannot provide more details citing confidentiality provisions in the Investment Canada Act, the legislation that allows for a national security review of any foreign investment into the Canada, regardless of its value. B.C. corporate registry records show both companies share Junfeng (Jack) Jia as CEO and sole director and the same mailing address in Surrey. The companies have offices in industrial parks in Burnaby about 500 metres apart. Bluevec Technologies is an anti-drone company founded in March 2018. It sells wireless drone defence technology that allows users to "secure the sky" against unwanted drones by detecting a drone's wireless signals, then blocking or disabling the device. The technology can be used in a range of applications, including protecting a person's privacy, safeguarding air traffic lanes, and preventing drones from dropping contraband into prisons. Westcoast Homes West Coast Homes Stay on top of the latest real estate news and home design trends. [ ] * There was an error, please provide a valid email address. Sign Up By signing up you consent to receive the above newsletter from Postmedia Network Inc. Thanks for signing up! A welcome email is on its way. If you don't see it, please check your junk folder. The next issue of West Coast Homes will soon be in your inbox. We encountered an issue signing you up. Please try again Article content Advertisement 3 Story continues below This advertisement has not loaded yet, but your article continues below. Article content Bluevec has not yet responded to a request for comment about the federal order of dissolution. The second company, Pegauni Technology, was founded in January 2018. According to its LinkedIn page, the company makes wireless security products. The company appears to have been shuttered, and its website is no longer active. Bluevec was the subject of a civil suit by competitor Vancouver-based SkyCope Technologies, which alleged Bluevec stole trade secrets through former SkyCope employees and gained a competitive advantage. Last year, B.C. Supreme Court Justice Nitya Iyer ordered Jia, Bluevec and another Bluevec employee to pay $800,000 to SkyCope for misusing its confidential information and selling a direction-finding code to Chinese anti-drone company Beijing Lizheng Technology. In court, Jia testified Lizheng was Bluevec's biggest customer, but SkyCope alleged Jia was the owner of the Beijing company. Court records cited a decision on a separate case by a Beijing arbitration commission that found Jia was a shareholder in Lizheng and held shares in the company held in trust by other individuals. Advertisement 4 Story continues below This advertisement has not loaded yet, but your article continues below. Article content The trial, which was held over 10 days in 2021 and 2023, was marked by "deep animosity" between Jia and Zhenhua (Eric) Liu, founder of SkyCope, said Iyer. The two met when working in the Beijing office of Fortinet, a cybersecurity firm. Both transferred to Fortinet's Vancouver office and became good friends. After Liu left the company in 2016 to form SkyCope and work on developing anti-drone technology, Jia joined him months later as SkyCope's chief technology officer. The relationship soured and, in 2017, Liu fired Jia, who went on to form Bluevec. chchan@postmedia.com x.com/cherylchan Recommended from Editorial 1. Aerial shot shows Thompson Creek Metals Mount Milligan copper and gold mine in B.C.s Northern Interior. Feds lean on B.C. to produce more critical minerals 2. Live Nation corporate offices in Hollywood, California. The U.S. Department of Justice has filed a federal lawsuit that accuses Ticketmaster and its parent company Live Nation of illegally monopolizing the live entertainment industry to the detriment of concertgoers, artists and its competitors. B.C. ticket reseller applauds U.S. bid to break up Live Nation-Ticketmaster monopoly --------------------------------------------------------------------- Bookmark our website and support our journalism: Don't miss the news you need to know -- add VancouverSun.com and TheProvince.com to your bookmarks and sign up for our newsletters here. 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