Unfortunately US law dictates that you nuke first and ask questions later. You loose your platform protections if you don't.
I don't think 100 million repos matters. What matters is how many automated tip-offs they need to investigate. It would have taken two minutes of investigation to find out this repo wasn't from a sanctioned country. If it takes two minutes to review a case, a team of five people could review over a thousand cases in an eight hour day. I work for a tech company that has a team of people that reviews uploaded content for copyright violations, it can be done.
Remember that the sanctions are for commercial use, primarily paid accounts. These sanction violation aren't happening at the rate of something like YouTube copyright violations. I wouldn't be surprised if it was less than ten a day.