Larson Electronics Reports Cyberlux Full Year Past Due on Making Good on Hot Checks|
Larson Electronics reported that Cyberlux Corporation (OTC Bulletin Board: CYBL) of Durham, North Carolina, has reached nearly a full year overdue on more than $15,000 of purchases for Ultralife Battery Chargers. The battery chargers were ordered, received and sold to the US military. Given that CEO Mark Schmidt signed and sent several, post dated checks that eventually were returned for insufficient funds, Larson Electronics also reported that they are preparing criminal police reports with Durham County’s District Attorney under that county’s Worthless Check Program naming Cyberlux and its CEO Mark Schmidt.
(Vocus/PRWEB ) November 10, 2009 -- “It started out as a fairly simple transaction with Cyberlux,” said Rob Bresnahan with Larson Electronics' larsonelectronics.com. “Cyberlux was basically buying Ultralife battery chargers with credit card to resell to the US National Guard. We use those chargers for some solutions we build and had inventory. They started sending purchase orders, with the understanding that we had their card on file. Ultimately, they cancelled the card on file. We have since overhauled our credit policies, but our repeated attempts to get paid from Cyberlux have been unsuccessful.”
Rob continued, “Mark Schmidt, CEO with Cyberlux, had sent an email in January of 2009, indicating that they would see the payments through by February. Richard Brown, the media relations person, later called to retract Mark’s email, indicating that their financial position wouldn’t support his claim. He went on to say that Mark Schmidt ‘hid under the desk on these matters.’ Eventually, they sent over a batch of post dated checks. At Cyberlux’s request, we waited until the checks were well past the dates to deposit them. Eventually all but one was returned for insufficient funds. To this date, they have failed to replace the checks or make any other forms of payment. They ordered the product and according to the UPS tracking numbers and their own email communications, received and sold the products. So either they don’t have the money or don’t want to pay it.”
Rob continued, “We contacted the Durham County District Attorney’s office and they looked into Cyberlux and Mark Schmidt. They came back to us a week later and indicated they would pursue the case. We had hoped to avoid this step, mostly due to the time and paperwork involved, but we will move forward now. Given Cyberlux’s dismal financial history and negligible assets, civil judgments are a waste of time. A deadbeat that won’t pay what they owe won’t pay their judgment either. However, we have been successful with criminal prosecution in the past, so we will work through that channel.” concluded Rob.
Larson Electronics makes and sells a full range of lighting products, ranging from explosion proof paint spray booth lighting to handheld 24 volt lights with magnetic bases. Larson Electronics.com is a one stop shop for military, industrial and commercial customers around the world.