Player Profile / Cyberlux Corporation

Atlantic Wave Holdings, LLC & Secure Community, LLC

Prior Lien Holders · Texas Receivership Actors · Pre-Award Creditors

Atlantic Wave Holdings, LLC and Secure Community, LLC are paired creditors in the Cyberlux litigation record. Their settlement agreement with Cyberlux, executed in June 2023, predates the HII subcontract award by more than two months. Cyberlux's breach of that agreement — and the subsequent enforcement action — produced the Texas receivership that connected to the Virginia interpleader.

Bottom Line

What this profile says up front

01
Atlantic Wave Holdings and Secure Community are prior lien holders whose June 2023 settlement agreement with Cyberlux was breached before the HII subcontract was even awarded — establishing a pre-existing creditor relationship that predates the advance payment by more than two months.
02
The enforcement of that settlement agreement, following Cyberlux's breach, was the procedural trigger for the Texas receivership that ultimately connected to the Virginia interpleader proceedings.
03
Atlantic Wave and Secure Community hold prior lien positions in the interpleader and compete for priority against the commission stack, the Legalist security interest, and the other judgment creditors.
04
The existence of the Atlantic Wave settlement and its breach in mid-2023 raises a question the record does not answer: whether HII was aware of Cyberlux's pre-existing creditor obligations when it awarded the $78.857M subcontract in August 2023.
Role in the Record

The pre-award creditors whose enforcement forced the system into the open

Atlantic Wave Holdings, LLC and Secure Community, LLC are paired creditors in the Cyberlux litigation record. Their settlement agreement with Cyberlux, executed in June 2023, predates the HII subcontract award by more than two months. Cyberlux's breach of that agreement — and the subsequent enforcement action — produced the Texas receivership that connected to the Virginia interpleader.

Atlantic Wave and Secure Community are not, in the conventional sense, the most colorful actors in this record. What makes them structurally significant is the timing: their creditor relationship with Cyberlux was established before the HII contract, before the advance, and before the disbursement pattern. They are the baseline against which the subsequent events are measured.

The findings below are drawn from the AWH v. Cyberlux court record, the Texas receivership filings, and the interpleader record.

Key Numbers

The numbers that frame the profile

Settlement date
June 2023
Before HII subcontract award (Aug 2023)
AWH corpus
149 docs
Largest single-party corpus footprint
Receivership trigger
AWH enforcement
Following Cyberlux breach of settlement
AWH lien position
Pre-award
Established before the $38.7M advance
Analytical Findings

What the record establishes

01 BEDROCK

The June 2023 settlement agreement and its breach

Atlantic Wave Holdings and Secure Community executed a settlement agreement with Cyberlux Corporation and Mark Schmidt in June 2023 — more than two months before the HII subcontract was awarded. The settlement resolved prior disputes and established payment obligations. Cyberlux breached those obligations. The breach triggered the enforcement proceedings that ultimately produced the Texas receivership.

Source: AWH v. Cyberlux settlement agreement (June 15, 2023) · AWH v. Cyberlux S.D. Cal. filing recordSource:
02 BEDROCK

The enforcement action and the Texas receivership

Following Cyberlux's breach of the settlement agreement, Atlantic Wave and Secure Community pursued enforcement through the courts. The enforcement action, pursued through both California and Texas proceedings, resulted in the Texas court appointing Robert W. Berleth as receiver over Cyberlux. The receivership order was signed May 22, 2025. The receiver's subsequent filings became a primary source of documented information about Cyberlux's full liability picture.

Source: AWH v. Cyberlux, Harris County, Texas · Receivership order (May 22, 2025) · Berleth receiver filingsSource:
03 BEDROCK

Prior lien position in the interpleader

Atlantic Wave and Secure Community hold prior lien positions in the E.D. Va. interpleader proceedings, competing for priority against the commission-stack claimants, the Legalist security interest, and the other judgment creditors. Their pre-award creditor position — established before the HII contract, the advance payment, and the commission arrangements — is the basis for their priority claim.

Source: Interpleader filings, E.D. Va. 3:25-cv-00483 · AWH v. Cyberlux recordSource:
04 ROCK

The pre-award creditor disclosure question

The Atlantic Wave settlement agreement was in place when HII awarded the $78.857M subcontract to Cyberlux in August 2023. Whether HII was aware of Cyberlux's pre-existing creditor obligations — and the associated lien — at the time of the award and the advance payment authorization does not appear in any public filing. The question is relevant to HII's due diligence posture and to the priority contest in the interpleader.

Source: AWH settlement agreement (June 2023) · HII subcontract (Aug 2023) · Interpleader recordSource:
Open Questions

What the record does not explain

Q01
Was HII aware of the Atlantic Wave settlement agreement and its associated lien when it awarded the subcontract and authorized the $38.7M advance in August-September 2023?
Q02
What is the precise basis and amount of Atlantic Wave's and Secure Community's lien claims against the interpleader corpus?
Q03
How does the pre-award lien position interact with Legalist's post-stop-work security interest under Virginia priority rules?
Q04
What is the outcome of the priority contest between Atlantic Wave, the commission-stack claimants, Legalist, and the judgment creditors in the interpleader proceedings?
Q05
Were there other creditor claims against Cyberlux at the time of the HII award beyond the Atlantic Wave settlement that were not disclosed to HII?