Evidence Record
Exhibit 8
1. AWH is a Virginia limited liability company AWH is the sole owner of your Co Interpleader Defendant, Secure Community, LLC ("SC"). Accordingly, while each a party, AWH and SC have the same claims...
DISTIL analysis
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Profile
Standard
Version
1
Doc Type
Supplemental Interrogatory Response
Total Nodes
34
Node Legend
Entity (ENT)
Event (EVT)
Claim (CLM)
Anchor (ANC)
Omission (OMI)
Tension (TEN)
Tell (TEL)
Inference (INF)
Hypothesis (HYP)
Stage 1
Index
Orientation · No nodes
Document Classification
Supplemental Interrogatory Response Atlantic Wave Holdings, LLC and Secure Community, LLC via counsel Charles A. Gavin Federal interpleader litigation involving competing claims to HII contract proceeds 2021-2026 (original IP transfer through current interpleader)
multi_jurisdictionalreceiver_involvementlayered_security_interestsstock_breach_claim
Analytical Frame
Legal discovery response documenting secured creditor claims through settlement agreements, UCC liens, and receiver-mediated compromise
Analytical Summary
This supplemental interrogatory response in a federal interpleader case documents Atlantic Wave Holdings (AWH) and Secure Community's (SC) claim to approximately $7 million in disputed HII contract proceeds. The claim stems from Cyberlux Corporation's breach of a June 2023 settlement agreement that required monetary payments and marketable stock delivery. AWH/SC secured their position through UCC liens filed across five states beginning July 2023, a Virginia judgment for $1.5 million, and a Texas receivership. When Cyberlux failed to provide marketable stock as agreed, AWH/SC pursued a separate "Stock Claim" that a court-appointed receiver evaluated and compromised to $6 million, memorialized in a December 2025 consent judgment. The response asserts priority security interests dating to July 2023, claims for ongoing interest at $986.30 daily, and seeks attorney fees under the settlement agreement's breach provisions across multiple jurisdictions.
Key Points
- AWH owns SC; both claim against same funds without seeking double recovery
- Original dispute (CL22-3882) involved Cyberlux breach of acquisition agreement requiring payments and marketable stock
- June 15, 2023 settlement agreement tied payments to HII drone contract profitability and granted AWH/SC security interest in all Cyberlux assets
- UCC liens filed in five states (NC, CA, VA, TX, NV) with priority claimed from July 6, 2023
- Virginia judgment for $1,572,500 entered June 28, 2023; domesticated in Texas leading to receivership
- Cyberlux failed to deliver marketable stock, triggering separate Stock Claim litigation (CL24-3910)
- Court-appointed Texas receiver evaluated Stock Claim and negotiated $6M compromise with AWH/SC
- December 18, 2025 consent judgment awarded $6M principal plus $25,250.50 fees and $986.30/day interest from Feb 5, 2026
- Fairfax garnishment against HII recovered $952,601.71 but left collection fees outside Virginia unresolved
- Total claim includes $6M consent judgment, accrued interest, $938,884 in remaining collection fees, and interpleader attorney fees
Stage 2
Core — Entities, Events, Claims
23 nodes
ENT-001
Entity
Atlantic Wave Holdings, LLC (AWH)
Virginia limited liability company; interpleader defendant/claimant; sole owner of Secure Community, LLC; party to original breach litigation against Cyberlux (CL22-3882); secured creditor with UCC liens across five states
Page 2 — AWH is a Virginia limited liability company AWH is the sole owner of your Co Interpleader Defendant, Secure Community, LLC ("SC"). Accordingly, while each a party, AWH and SC have the same claims and are not independent of one another seeking a double recovery.
ENT-002
Entity
Secure Community, LLC (SC)
Limited liability company wholly owned by Atlantic Wave Holdings, LLC; co-claimant in interpleader action; party to settlement agreement and UCC lien filings; shares identical claims with parent AWH without seeking duplicate recovery
Page 2 — AWH is the sole owner of your Co Interpleader Defendant, Secure Community, LLC ("SC"). Accordingly, while each a party, AWH and SC have the same claims and are not independent of one another seeking a double recovery.
ENT-003
Entity
Cyberlux Corporation (CYBL)
Defendant corporation; breached acquisition agreement and subsequent settlement agreement; subject of multiple judgments and receivership; obligated to provide monetary payments and marketable stock to AWH/SC; drone manufacturer involved in HII contract
Page 2 — AWH and SC initiated a claim against CYBL and Mark Schmidt, individually, in the Richmond Circuit Court as CL22-3882 based CYBL's breach of an acquisition agreement, requiring CYBL to 1) pay AWH certain monetary sums and 2) to provide "Marketable Trading" CYBL stock.
ENT-004
Entity
HII Mission Technologies Corp.
Garnishee and interpleader plaintiff; held disputed funds of $1,444,543.11 from drone contract with Cyberlux; initiated federal interpleader action (3:25cv483) to resolve competing claims; ordered to pay portion to AWH by Fairfax court
Page 4 — The Garnishment in Fairfax is referred to by HII as, in part, a basis for this Interpleader. See First Amended Complaint, paragraphs 50-55.
ENT-005
Entity
Mark Schmidt
Individual defendant named alongside Cyberlux Corporation in original breach litigation (CL22-3882); co-signatory to June 15, 2023 settlement agreement
Page 2 — AWH and SC initiated a claim against CYBL and Mark Schmidt, individually, in the Richmond Circuit Court as CL22-3882 based CYBL's breach of an acquisition agreement
ENT-006
Entity
Robert Berleth, Esquire (Receiver)
Court-appointed receiver for Cyberlux in Harris County, Texas (Cause No. 202448085); granted broad powers over all causes of action; evaluated AWH/SC Stock Claim and negotiated $6 million compromise; entered into receiver agreement with AWH/SC
Page 4, 5 — Robert Berleth, Esquire was appointed as a Receiver for Cyberlux by Order entered in Harris County TX in Cause No. 202448085. The Order of Appointment granted broad powers to Berleth including the grant of power over all causes of action.
ENT-007
Entity
Charles A. Gavin, Counsel
Attorney representing Atlantic Wave Holdings and Secure Community; VSB#31391; Gavin Law, PLC, Midlothian, Virginia; filed supplemental interrogatory response dated March 24, 2026
Page 8 — Charles A. Gavin, VSB#31391 Gavin Law, PLC 14321 Winter Breeze Dr., Suite 136 Midlothian, Virginia 23113
EVT-001
Event
Original Acquisition Agreement Breach
Cyberlux breached acquisition agreement with AWH/SC requiring monetary payments and provision of marketable trading CYBL stock; led to litigation filed as CL22-3882 in Richmond Circuit Court
Page 2 — AWH and SC initiated a claim against CYBL and Mark Schmidt, individually, in the Richmond Circuit Court as CL22-3882 based CYBL's breach of an acquisition agreement, requiring CYBL to 1) pay AWH certain monetary sums and 2) to provide "Marketable Trading" CYBL stock.
EVT-002
Event
June 15, 2023 Settlement Agreement Execution
Parties entered settlement agreement resolving CL22-3882 litigation; CYBL and Schmidt agreed to series of payments to AWH/SC and to make stock marketable by certain date; payments tied to HII drone contract profitability; included accelerated payment provision upon HII payment; granted AWH/SC security interest in all Cyberlux assets including accounts receivable
Page 2, 3 — Following extended litigation, the parties entered into a settlement agreement ("the Settlement Agreement") dated June 15, 2023, in which CYBL and Schmidt agreed inter alia to make a series of payments to AWH and SC and, notably, to bring the CYBL stock marketable by a certain date. The Settlement Agreement is produced as Exhibit A.
EVT-003
Event
June 28, 2023 Amended Final Order Entry
Richmond Circuit Court entered Amended Final Order and Judgment in CL22-3882 granting monetary judgment of $1,572,500 and other relief; ratified parties' agreement allowing AWH/SC to file UCC liens to protect all sums owed
Page 3 — An Amended Final Order and Judgment was entered in Richmond Circuit CL22-2882 on June 28, 2023 which is produced as Exhibit C. The order granted the monetary judgment of $1,572,500 and other relief as set forth in the order. The Amended Final Order and Judgment further ratified the parties' agreement that AWH and SC could file UCC liens to protect all sums owed.
EVT-004
Event
Multi-State UCC Lien Filings
AWH and SC filed UCC liens across five states to secure their interests: North Carolina (July 6, 2023), California (October 20, 2023), Virginia (July 6, 2023), Texas (July 6, 2023), and Nevada (March 20, 2026 supplement); priority claimed as of July 6, 2023
Page 3, 6, 8 — UCC liens were filed by AWH and SC as follows: North Carolina -July 6, 2023 B-1 California October 20, 2023 B-2 Virginia July 6, 2023 B-3 Texas July 6, 2023 B-4 SUPPLEMENT Nevada March 20,2026 B-5
EVT-005
Event
Settlement Agreement Payment Breach
Cyberlux breached payment terms of June 15, 2023 settlement agreement, prompting AWH/SC to file garnishment in Fairfax County Circuit Court (CL2025-3413) against CYBL as judgment debtor and HII Mission Technologies as garnishee
Page 3, 4 — CYBL breached the payment terms of the Settlement Agreement prompting a Garnishment (the Garnishment) filed by AWH and SC in the Circuit Court of Fairfax County against CYBL as the judgment debtor and HII Mission Technologies Corp as Garnishee, as CL 2025-3413.
EVT-006
Event
Virginia Judgment Domestication in Texas
AWH and SC domesticated Virginia judgment (CL22-3882) in Harris County, Texas, where Cyberlux operated drone assembly facility; led to appointment of Robert Berleth as receiver in Cause No. 202448085
Page 4 — AWH and SC also domesticated the Virginia judgment (CL22-3882) in Harris County Texas where Cyberlux had a drone assembly facility. Upon the domestication of the Virginia Judgment in Texas, Robert Berleth, Esquire was appointed as a Receiver for Cyberlux by Order entered in Harris County TX in Cause No. 202448085.
EVT-007
Event
Marketable Stock Provision Breach
Cyberlux failed to provide marketable trading stock as required by paragraph 2(e) of settlement agreement; stock would have had significant value on or before October 2021 if properly administered; breach triggered AWH/SC's reserved right to file separate complaint
Page 4 — Meanwhile, CYBL also failed to provide "Marketable Trading" stock as required, and as required by paragraph 2(e) of the Settlement Agreement (the "Stock Claim"). CYBL stock, if it had been properly administered as required by the Settlement Agreement, would have had significant value on or before October 2021, and was additional consideration for the Settlement Agreement.
EVT-008
Event
Stock Claim Litigation Filing
Based on marketable stock breach, AWH and SC filed complaint in Richmond Circuit Court to enforce rights under Stock Claim; filed as CL24-3910; paragraph 2(e) of settlement agreement had reserved this right upon breach
Page 4 — Paragraph 2(e) of the Settlement Agreement reserved the right in AWH and SC to re-file a Complaint to enforce its rights under the Stock Claim upon breach. Based on the breach, AWH and SC filed a Complaint to enforce its rights under the Stock Claim in Richmond Circuit Court which is pending and is filed as CL 24-3910.
EVT-009
Event
Receiver Evaluation and Compromise of Stock Claim
Receiver Robert Berleth evaluated Stock Claim advanced by AWH/SC as part of receivership duties; compromised claim with AWH/SC to reduced liquidated figure of $6,000,000 plus attorney fees and costs; entered into receiver agreement
Page 5 — Berleth, as part of his duties as Receiver, evaluated the Stock Claim advanced by AWH and SC and compromised the figure with AWH and SC to a reduced liquidated figure of $6,000,000.00, plus attorney fees and cost. Berleth and AWH entered a Settlement Agreement (the "Receiver Agreement") to be produced as Exhibit D.
EVT-010
Event
December 18, 2025 Consent Judgment Entry
Richmond Circuit Court entered consent judgment in CL24-3910 providing judgment in principal amount of $6,000,000, attorney's fees of $25,250.50, costs of $352.92, and 6% interest from date of judgment; ratified settlement agreement as valid and confirmed receivership order properly recorded
Page 5 — The Receiver Agreement provided for entry of a Consent Judgment in CL 24-3910 which was entered by the Richmond Circuit Court on December 18, 2025, providing for judgment in the principal amount of $6,000,000, attorney's fees of $25,250.50 costs, and 6% interest from the date of judgment (the "Consent Order"). To be produced as Exhibit E. The Consent Order ratified the Settlement Agreement as valid, and further ruled that the Order of Receivership had been properly recorded in the City of Richmond, without objection.
EVT-011
Event
Fairfax Garnishment Partial Recovery
In Fairfax garnishment proceeding, HII as garnishee had impleaded $1,444,543.11; Fairfax Court ordered payment of $952,601.71 to AWH as principal and attorney's fees for Virginia judgment but ruled it lacked jurisdiction to determine fees for collection activity outside Virginia as provided by settlement agreement
Page 5 — In Fairfax, HII, as garnishee had implead the sum of $1,444,543.11 based upon AWH's garnishment referred to herein at paragraph 9. The Fairfax Court ordered the payment of $952,601.71 to AWH as principal and attorney's fees for the Virginia judgment but ruled that it had no jurisdiction to determine fees for collection activity outside of Virginia as provided by the Settlement Agreement.
EVT-012
Event
March 24, 2026 Supplemental Response Filing
AWH and SC filed supplemental response to Cyberlux Interrogatory Number 6 through counsel Charles A. Gavin; includes revised claims after Texas case non-suit; electronically filed through ECF
Page 8 — I hereby certify that I have electronically filed and sent a copy of the foregoing to counsel of record electronically through ECF this 24th day of March, 2026.
CLM-001
Claim
AWH/SC Total Claim Against Disputed Funds
AWH and SC assert claim to interpleader funds totaling: (1) Consent judgment principal of $6,000,000; (2) attorney fees of $25,250.50; (3) costs of $352.92; (4) per diem interest of $986.30/day beginning February 5, 2026; (5) reasonable attorney fees necessitated by interpleader pursuant to settlement agreement paragraph 19
Page 6 — Accordingly, the revised claim is: Reasonable Attorney's fees necessitated by this Interpleader pursuant to the Settlement Agreement at paragraph 19. The Consent Judgment principal amount $6,000,000 $25,250.50 attorney fees $352.92 costs Per diem interest in the amount of 986.30/day beginning February 5, 2026
CLM-002
Claim
Security Interest in All Cyberlux Assets
Settlement agreement paragraph 7 granted AWH and SC security interest in all of Cyberlux assets, including but not limited to accounts receivable for drones; secured through UCC liens filed in five states with priority dating to July 6, 2023
Page 3 — The Settlement Agreement, at paragraph 7, granted AWH and SC a security interest in all of CYBL's assets, including, but not limited to, the accounts receivable for the drones.
CLM-003
Claim
Attorney Fees Under Settlement Agreement Paragraph 19
Settlement agreement paragraph 19 provided for payment of attorney's fees in any action deriving from breach of settlement agreement; includes currently accrued non-Virginia remaining attorney's fees and reasonable fees required by interpleader
Page 7 — The Settlement Agreement at paragraph 19 provided for the provision of the payment of attorney's fees in any action deriving from a breach of the Settlement Agreement. That would include currently accrued non-Virginia remaining attorney's fees of $938,884, and reasonable attorney's fees as required by this Interpleader.
CLM-004
Claim
Original Intellectual Property Transfer as Consideration
Original advance creating secured interest was transfer of intellectual property to Cyberlux by written agreement in 2021; consideration for secured interest in interpleader based on settlement agreement granting security interest in all Cyberlux assets
Page 7 — The original advance was the transfer of Intellectual Property to Cyberlux by written agreement in 2021. The consideration creating the secured interest in the Interpleader is based on the Settlement Agreement in which Cyberlux agreed to a secured interest in all of its assets to secure the performance of the Settlement Agreement.
Stage 3
In Situ — Quotations, Tells, Tensions, Questions
6 nodes
QUO-001
Quotation
Settlement Agreement Drone Contract Linkage
Settlement agreement specifically contemplated payment under terms and profitability of stock based on anticipated sale of drones, specifically the HII contract; also provided for accelerated payment of agreed sums immediately upon payment for drones from HII
Page 3 — The Settlement Agreement contemplated payment under the terms and profitability of stock based on the anticipated sale of drones. Specifically. the HII contract. See "Whereas" Exhibit A, page 2. The Settlement Agreement also provided for the accelerated payment of the agreed upon the sums immediately upon the payment for the drones, from HII, which have now become the Disputed Funds.
QUO-002
Quotation
Receiver's Broad Powers Over Causes of Action
Order of Appointment granted receiver Robert Berleth broad powers including grant of power over all causes of action for Cyberlux
Page 4 — The Order of Appointment granted broad powers to Berleth including the grant of power over all causes of action. See First Amended Complaint, Exhibit 11, Order, Paragraph 25(1.).
TEN-001
Tension
Fairfax Jurisdictional Limitation on Fee Recovery
Fairfax Court awarded AWH $952,601.71 but ruled it had no jurisdiction to determine fees for collection activity outside Virginia despite settlement agreement paragraph 19 providing for such fees; creates gap in fee recovery requiring separate adjudication
Page 5 — The Fairfax Court ordered the payment of $952,601.71 to AWH as principal and attorney's fees for the Virginia judgment but ruled that it had no jurisdiction to determine fees for collection activity outside of Virginia as provided by the Settlement Agreement.
TEN-002
Tension
Dual Claims Without Double Recovery
AWH and SC both named as parties and claimants despite AWH being sole owner of SC; document explicitly addresses potential double recovery concern by stating they have same claims and are not independent of one another seeking double recovery
Page 2 — AWH is the sole owner of your Co Interpleader Defendant, Secure Community, LLC ("SC"). Accordingly, while each a party, AWH and SC have the same claims and are not independent of one another seeking a double recovery.
QST-001
Question
Texas Case Non-Suit Impact on Claims
Supplemental response states Texas case has been non-suited and collection fees in Texas have been satisfied, leading to revised claim excluding previously asserted $938,884.88 in Texas/California collection fees; unclear whether these fees were paid, waived, or remain unresolved in other proceedings
Page 6 — SUPPLEMENT The remaining collection fees in enforcing the Settlement Agreement in Texas have been satisfied and the Texas case has been non-suited. Accordingly, the revised claim is:
QST-002
Question
Marketable Stock Valuation Timing
Document states CYBL stock would have had significant value on or before October 2021 if properly administered; unclear whether this predates the June 2023 settlement agreement and how stock value decline between 2021-2023 affected compromise negotiations
Page 4 — CYBL stock, if it had been properly administered as required by the Settlement Agreement, would have had significant value on or before October 2021, and was additional consideration for the Settlement Agreement.
Stage 4
Interpretive — Inferences, Omissions, Patterns
5 nodes
INF-001
Inference
Layered Security Strategy
AWH/SC pursued comprehensive secured creditor strategy: obtained contractual security interest in settlement agreement paragraph 7, perfected through multi-state UCC filings, obtained judgment ratifying lien rights, domesticated judgment in Texas for receivership leverage, and filed garnishment against ultimate payor HII; demonstrates sophisticated creditor remedies approach anticipating debtor's multi-jurisdictional presence
Page — None
INF-002
Inference
Receiver as Neutral Evaluator Mechanism
Use of court-appointed receiver with broad powers to evaluate and compromise Stock Claim suggests parties (or court) recognized need for neutral third-party valuation; receiver's compromise from unspecified amount to $6 million implies original Stock Claim may have been disputed in amount or legal basis; receiver mechanism allowed liquidation of uncertain claim into consent judgment
Page — None
INF-003
Inference
Settlement Agreement's Anticipatory Security Design
June 2023 settlement agreement specifically contemplated HII drone contract and provided for accelerated payment upon HII's payment; suggests AWH/SC structured settlement to capture specific anticipated receivable that has now become disputed interpleader funds; security interest in accounts receivable was targeted at HII payment from outset
Page — None
OMI-001
Omission
Other Claimants' Identity and Basis
Document identifies Cyberlux Corporation as co-interpleader defendant/claimant but provides no detail about nature or amount of CYBL's claim to disputed funds, nor identifies other claimants referenced in case caption 'Atlantic Wave Holdings, LLC, et al.'; interrogatory response focused exclusively on AWH/SC claims without addressing competing claims landscape
Page — None
OMI-002
Omission
Original Acquisition Agreement Terms
Document references breach of acquisition agreement requiring monetary payments and marketable stock but provides no details about original acquisition structure, what was acquired, purchase price, or business rationale; intellectual property transfer mentioned as 2021 consideration but nature of IP undefined
Page — None
Extracted text
8 pages · 10552 charactersEXHIBIT 8
IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF VIRGINIA Richmond Division
HII MISSION TEHNOLOGIES CORP., Interpleader Plaintiff, V.
Case Number: 3:25cv483
ATLANTIC WAVE HOLDINGS, LLC, et al., Interpleader Defendants/Claimants.
SUPPLEMENTAL RESPONSE TO INTERROGATORY NUMBER 6
Comes now your Interpleader Defendants, Atlantic Wave Holdings, LLC and Secure Community, LLC, (jointly as "AWH") and in Response to Interpleader Defendant Cyberlux Corporation's ("CYBL") Interrogatory number 6 under the Joint Discovery Plan, hereby answers as follows:
Interrogatory:
6(a). Explain the nature of your claim to any of the proceeds that are the subject of this interpleader, including an explanation of (a) the amount of the proceeds that you claim;
1.
AWH is a Virginia limited liability company AWH is the sole owner of your Co Interpleader Defendant, Secure Community, LLC ("SC"). Accordingly, while each a party, AWH and SC have the same claims and are not independent of one another seeking a double recovery.
2.
AWH and SC initiated a claim against CYBL and Mark Schmidt, individually, in the Richmond Circuit Court as CL22-3882 based CYBL's breach of an acquisition agreement, requiring CYBL to 1) pay AWH certain monetary sums and 2) to provide "Marketable Trading" CYBL stock.
3.
Following extended litigation, the parties entered into a settlement agreement ("the Settlement Agreement") dated June 15, 2023, in which CYBL and Schmidt agreed inter alia to make a series of payments to AWH and SC and, notably, to bring the CYBL stock marketable by a certain date. The Settlement Agreement is produced as Exhibit A.
4.
The Settlement Agreement contemplated payment under the terms and profitability of stock based on the anticipated sale of drones. Specifically. the HII contract. See "Whereas" Exhibit A, page 2. The Settlement Agreement also provided for the accelerated payment of the agreed upon the sums immediately upon the payment for the drones, from HII, which have now become the Disputed Funds. See Exhibit A, para 4(b).
5.
The Settlement Agreement, at paragraph 7, granted AWH and SC a security interest in all of CYBL's assets, including, but not limited to, the accounts receivable for the drones.
6.
UCC liens were filed by AWH and SC as follows:
North Carolina -July 6, 2023
B-1
California October 20, 2023
B-2
Virginia July 6, 2023
B-3
Texas July 6, 2023
B-4
SUPPLEMENT
Nevada March 20,2026
B-5
7.
An Amended Final Order and Judgment was entered in Richmond Circuit CL22- 2882 on June 28, 2023 which is produced as Exhibit C. The order granted the monetary judgment of $1,572,500 and other relief as set forth in the order.
8.
The Amended Final Order and Judgment further ratified the parties' agreement that AWH and SC could file UCC liens to protect all sums owed.
9.
CYBL breached the payment terms of the Settlement Agreement prompting a Garnishment (the Garnishment) filed by AWH and SC in the Circuit Court of Fairfax County
against CYBL as the judgment debtor and HII Mission Technologies Corp as Garnishee, as CL 2025-3413.
10.
The Garnishment in Fairfax is referred to by HII as, in part, a basis for this Interpleader. See First Amended Complaint, paragraphs 50-55.
11.
AWH and SC also domesticated the Virginia judgment (CL22-3882) in Harris County Texas where Cyberlux had a drone assembly facility.
12.
Upon the domestication of the Virginia Judgment in Texas, Robert Berleth, Esquire was appointed as a Receiver for Cyberlux by Order entered in Harris County TX in Cause No. 202448085. The Order of Receivership is attached as Exhibit 11 to the First Amended Complaint.
13.
The Order of Appointment granted broad powers to Berleth including the grant of power over all causes of action. See First Amended Complaint, Exhibit 11, Order, Paragraph 25(1.).
14.
Meanwhile, CYBL also failed to provide "Marketable Trading" stock as required, and as required by paragraph 2(e) of the Settlement Agreement (the "Stock Claim").
15.
CYBL stock, if it had been properly administered as required by the Settlement Agreement, would have had significant value on or before October 2021, and was additional consideration for the Settlement Agreement.
16.
Paragraph 2(e) of the Settlement Agreement reserved the right in AWH and SC to re-file a Complaint to enforce its rights under the Stock Claim upon breach.
17.
Based on the breach, AWH and SC filed a Complaint to enforce its rights under the Stock Claim in Richmond Circuit Court which is pending and is filed as CL 24-3910.
18.
Berleth, as part of his duties as Receiver, evaluated the Stock Claim advanced by AWH and SC and compromised the figure with AWH and SC to a reduced liquidated figure of $6,000,000.00, plus attorney fees and cost.
19.
Berleth and AWH entered a Settlement Agreement (the "Receiver Agreement") to be produced as Exhibit D.
20.
The Receiver Agreement provided for entry of a Consent Judgment in CL 24-3910 which was entered by the Richmond Circuit Court on December 18, 2025, providing for judgment in the principal amount of $6,000,000, attorney's fees of $25,250.50 costs, and 6% interest from the date of judgment (the "Consent Order"). To be produced as Exhibit E.
21.
The Consent Order ratified the Settlement Agreement as valid, and further ruled that the Order of Receivership had been properly recorded in the City of Richmond, without objection.
22.
In Fairfax, HII, as garnishee had implead the sum of $1,444,543.11 based upon AWH's garnishment referred to herein at paragraph 9.
23.
. The Fairfax Court ordered the payment of $952,601.71 to AWH as principal and attorney's fees for the Virginia judgment but ruled that it had no jurisdiction to determine fees for collection activity outside of Virginia as provided by the Settlement Agreement.
24.
Accordingly, the claim advanced by AWH and SC against the Disputed Funds are as follows:
Remaining collection fees in enforcing the Settlement Agreement in Texas, California and at paragraph 19 of $938,884.88 Summary and Declarations produced as F.
Reasonable Attorney's fees necessitated by this Interpleader pursuant to the Settlement Agreement at paragraph 19.
The Consent Judgment principal amount $6,000,000
$25,250.50 attorney fees
$352.92 costs
Per diem interest in the amount of 986.30/day beginning February 5, 2026.
SUPPLEMENT
The remaining collection fees in enforcing the Settlement Agreement in Texas have been satisfied and the Texas case has been non-suited. Accordingly, the revised claim is:
Reasonable Attorney's fees necessitated by this Interpleader pursuant to the Settlement Agreement at paragraph 19.
The Consent Judgment principal amount $6,000,000 $25,250.50 attorney fees $352.92 costs
Per diem interest in the amount of 986.30/day beginning February 5, 2026
(b) the legal basis for your right to the proceeds"
The legal basis for the claim is set forth in (a).
(c) how the amount you claim became a liquidated amount, or, if not liquidated, state so:
SUPPLEMENT
The legal basis for the claim is set forth in (a), as supplemented.
(d) whether you claim a security interest in, lien on, or assignment of all or any portion of the proceeds and, if so, provide your claimed priority date and explain the basis for your security interest, lien or assignment;
The secured interest of A WH and SC are identified in Exhibits B-1,2,3,4, and B-5. The filing dates are on the liens. The priority is claimed as of July 6, 2023. The secured claim for the breach of the Settlement Agreement with respect to the Stock Claim was liquidated on December 18, 2023, as reaffirmed by order entered February 2, 2026 (Produced as Exhibit G).
(e) whether you claim a right to interest and, of so, the amount and basis for continuing accrual thereof, if any:
The right to collect interest under the Consent Judgment is set forth in the Order Dated December 18, 2025, as re-affirmed by Order dated February 2, 2026. Interest on the Consent Judgment per diem is $986.30.
(f) whether you claim a right to attorneys' fees and, if so the basis therefore and the amount you will claim;
The Settlement Agreement at paragraph 19 provided for the provision of the payment of attorney's fees in any action deriving from a breach of the Settlement Agreement. That would include currently accrued non-Virginia remaining attorney's fees of $938,884, and reasonable attorney's fees as required by this Interpleader.
(g) for any creditor claiming a secured interest, identify the date(s) on which advances were made to Cyberlux or on its behalf for which any secured interest is claimed.
The original advance was the transfer of Intellectual Property to Cyberlux by written agreement in 2021. The consideration creating the secured interest in the Interpleader is based on the Settlement Agreement in which Cyberlux agreed to a secured interest in all of its assets to secure the performance of the Settlement Agreement.
6(b) Document Requests
i. Documents supporting or otherwise concerning your answer to the above interrogatory. See Attached.
ii. All documents on which you rely to assert any security interest in, lien on, or assignment of the proceeds that are the subject of this interpleader.
See Attached.
SUPPLEMENTAL RESPONSE:
i. See attached UCC lien filed March 20, 2026 in Nevada
ii. See attached UCC lien filed March 20, 2026 in Nevada.
Respectfully Submitted ATLANTIC WAVE HOLDINGS, LLC AND SECURE COMMUNITY, LLC BY: Charles A. Gavin, VSB#31391 Gavin Law, PLC 14321 Winter Breeze Dr., Suite 136 Midlothian, Virginia 23113 (804) 606-7702 (804) 606-7704 Facsimile cgavin@gavinlawplc.com
CERTIFICATE
I hereby certify that I have electronically filed and sent a copy of the foregoing to counsel of record electronically through ECF this 24th day of March, 2026.
Charles A. Gavin, VSB#31391 Gavin Law, PLC 14321 Winter Breeze Dr., Suite 136 Midlothian, Virginia 23113 (804) 606-7702 (804) 606-7704 Facsimile cgavin@gavinlawplc.com
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