Sector Two was a sector of space located in or near the Orion Colonies, in the Alpha or the Beta Quadrant.
Following the Four Years War between the United Federation of Planets and the Klingon Empire, and the subsequent foundation of the Orion Neutrality Area in reference stardate 1/9806.29 (c. mid-2250s), the Federation's Rigel Demilitarized Zone Commission relocated a total of 1.4 billion Orion refugees from Sector Two. They were resettled on Qualf III, triggering an overpopulation crisis and the rise of a dictatorship. (FASA RPG module: The Orions: Book of Common Knowledge)