Cycurion Makes It Clear: Issues Litigation Hold Letters to 16 Market Makers as Company Aggressively Investigates Potential Harm to Shareholders

News Market Reaction – CYCUW

-3.33%

1 alert

-3.33% News Effect

On the day this news was published, CYCUW declined 3.33%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Litigation hold recipients: 16 market makers and securities firms Investigation period start: February 16, 2026 Investigation period end: March 23, 2026 +1 more

4 metrics

Litigation hold recipients 16 market makers and securities firms Recipients of litigation hold letters regarding CYCU trading activity

Investigation period start February 16, 2026 Start date for required preserved trading records in CYCU shares

Investigation period end March 23, 2026 End date for required preserved trading records in CYCU shares

Court file number 26CV012490-910 Superior Court of Justice, Wake County, North Carolina case reference

Market Reality Check

Price: $0.0228 Vol: Volume 30,228 is at 1.46x...

normal vol

$0.0228 Last Close

Volume Volume 30,228 is at 1.46x the 20-day average of 20,703 shares. normal

Technical Trading below 200-day MA at 0.04 with price at 0.03.

Peers on Argus

Two peers on the momentum scanner, including MGRT at -5.10% and JFU at -3.42%, a...

2 Down

Two peers on the momentum scanner, including MGRT at -5.10% and JFU at -3.42%, also moved down, indicating broader sector-related pressure rather than a purely stock-specific move.

Historical Context

5 past events · Latest: Apr 08 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Apr 08	New contract win	Positive	+11.7%	Announced multi-year Fortune 500 contract worth about $1M in year one.
Apr 07	Legal update	Positive	+28.8%	Amended complaint to identify individual behind alleged defamatory campaign.
Apr 02	Litigation action	Neutral	+4.5%	Initiated legal action seeking damages over unauthorized and fraudulent release.
Apr 01	Earnings update	Neutral	+6.7%	Reported 2025 results, cost savings, cash position, and contracted backlog details.
Mar 17	Fraud clarification	Neutral	+5.2%	Addressed false acquisition release and described legal and cybersecurity response.

Pattern Detected

Recent news, including legal actions and contract wins, has generally coincided with positive next-day price moves.

Recent Company History

Over the last month, Cycurion announced a multi-year Fortune 500 contract, several legal actions related to alleged market manipulation and defamation, and its 2025 financial results. Prior legal updates and the clarification of an unauthorized press release were followed by positive price reactions between 4–29%. This latest step—litigation hold letters tied to manipulation claims—continues the pattern of combining legal measures with an operating focus on AI-driven cybersecurity and government contracts.

Market Pulse Summary

This announcement details Cycurion’s issuance of litigation hold letters to 16 market makers and sec...

Analysis

This announcement details Cycurion’s issuance of litigation hold letters to 16 market makers and securities firms, seeking preservation of CYCU trading records from February 16–March 23, 2026 as part of a market-manipulation investigation. It extends a series of recent legal actions addressing alleged improper activity around the stock. Investors may watch how this legal track evolves alongside the company’s operating progress in AI-driven cybersecurity and government contracts.

Key Terms

litigation hold letters, market makers, know your customer (kyc), consolidated audit trail, +2 more

6 terms

litigation hold letters regulatory

"Cycurion has issued litigation hold letters (formal evidence preservation) to 16..."

A litigation hold letter is a formal notice telling a company’s employees and relevant parties to preserve all records and information that could be needed in a legal dispute or investigation. It matters to investors because it signals potential or actual legal risk, can increase compliance and legal costs, and may lead to regulatory scrutiny or delays in business activities; think of it as ordering everyone to lock important documents in a safe until lawyers review them.

market makers financial

"litigation hold letters to 16 prominent market makers and securities firms..."

Market makers are firms or traders who always stand ready to buy and sell a stock by posting continuous bid and ask prices, acting like a store that both sells and buys the same product so customers can trade anytime. They matter to investors because they keep trades flowing and determine the bid-ask spread — which affects how quickly orders execute and how much investors pay or receive when buying or selling shares.

know your customer (kyc) regulatory

"customer account details (including KYC), surveillance reports, exception reports..."

"Know your customer (KYC)" is the process financial institutions use to verify the identity of their clients before providing services. It helps prevent illegal activities like fraud or money laundering by ensuring the person they are dealing with is genuine. For investors, KYC offers reassurance that their transactions are protected and conducted with trustworthy parties.

consolidated audit trail regulatory

"spread data, Consolidated Audit Trail information, and any Suspicious Activity Reports..."

A consolidated audit trail is a central, time-stamped record that captures every order, trade, cancellation and routing decision across trading venues, producing a single, searchable timeline of market activity. Investors benefit because it helps regulators and market participants spot errors, abusive behavior or system breakdowns more quickly—like having a continuous security-camera recording of market events that improves transparency, oversight and confidence.

suspicious activity reports (sars) regulatory

"Consolidated Audit Trail information, and any Suspicious Activity Reports (SARs)."

Suspicious activity reports (SARs) are formal alerts that banks and other financial firms send to government authorities when they notice transactions or behavior that could indicate money laundering, fraud, corruption, or other financial crime. For investors, SARs matter because they can prompt investigations, fines, or reputational harm that affect a company’s finances and stock price — like a neighborhood-watch alert that signals potential trouble requiring closer scrutiny of a business’s risks and controls.

bid/ask quotes financial

"margin and collateral records, order lifecycle data, bid/ask quotes, spread data..."

Bid/ask quotes show the highest price buyers are currently willing to pay (bid) and the lowest price sellers are currently willing to accept (ask) for a stock or other security. They matter to investors because the difference between them—the spread—indicates how easy and costly it is to buy or sell at once; think of it like the gap between what a buyer offers for a used car and what the seller wants, where a smaller gap means quicker, cheaper trades and usually a more liquid market.

AI-generated analysis. Not financial advice.

MCLEAN, Va., April 10, 2026 (GLOBE NEWSWIRE) -- Cycurion, Inc. (Nasdaq: CYCU) (“Cycurion” or the “Company”), a leading provider of advanced IT cybersecurity solutions and AI-driven innovations for government, enterprise, and critical infrastructure clients, today continues to make it clear that it will not sit idly by and will vigorously investigate anyone involved in manipulating the price of the Company’s stock. In the latest step, Cycurion has issued litigation hold letters (formal evidence preservation) to 16 prominent market makers and securities firms, putting them on immediate notice to preserve all evidence of trading activity in the Company’s stock as part of an ongoing investigation into potential market manipulation.

The litigation hold letters, issued in connection with the Superior Court of Justice, Wake County, North Carolina (File No. 26CV012490-910) in the action Cycurion, Inc. f/k/a WAVS v. ACCESS Newswire Inc. and John Doe One, formally require each recipient to preserve and not destroy, alter, or delete any records related to trading in shares of Cycurion, Inc. (Nasdaq: CYCU) during the period February 16, 2026 through March 23, 2026. This includes all buy and sell orders, execution details, counterparty information, communications, customer account details (including KYC), surveillance reports, exception reports, internal investigations, margin and collateral records, order lifecycle data, bid/ask quotes, spread data, Consolidated Audit Trail information, and any Suspicious Activity Reports (SARs).

“As we have said from the beginning, we will not sit on our hands while others try to harm our company and our shareholders,” said Kevin Kelly, CEO of Cycurion. “We continue to make it clear that we will go after those who have hurt the Company and its shareholders by their nefarious actions. We are proactively issuing these litigation hold letters to 16 market makers as part of our investigation into potential short selling and market manipulation. Our internal cybersecurity team — with national security-level tradecraft — combined with targeted legal action, will continue to expose those responsible while we execute on our real business.”

Cycurion continues to focus on profitable growth and believes this will be a breakout year for the Company as it expands its contract backlog with government and enterprise clients, advances its proprietary ARx platform and AI-enhanced cybersecurity offerings, and delivers long-term value to shareholders.

This latest action builds upon the Company’s recent success in unmasking Michael S. Emo as the individual previously named as John Doe 1 and John Doe 2 in the Company’s defamation lawsuit pending in Alexandria, Virginia. Cycurion remains committed to using every available legal and technological tool to protect shareholder value, defend market integrity, and ensure the truth prevails.

About Cycurion, Inc.

Based in McLean, Virginia, Cycurion (NASDAQ: CYCU) is a forward-thinking provider of IT cybersecurity solutions and AI, committed to delivering secure, reliable, and innovative services to clients worldwide. Specializing in cybersecurity, program management, and business continuity, Cycurion harnesses its AI-enhanced ARx platform and expert team to empower clients and safeguard their operations. Along with its subsidiaries, Axxum Technologies LLC, Cloudburst Security LLC, and Cycurion Innovation, Inc., Cycurion serves government, healthcare, and corporate clients committed to securing the digital future. For more information, visit www.cycurion.com.

Forward-Looking Statements

This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements relating to the operations and prospective growth of Cycurion’s business.

Certain statements in this press release that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Exchange Act of 1934, as amended. Any statements contained in this press release that are not statements of historical fact may be deemed forward-looking statements. Such statements include, but are not limited to, statements regarding the anticipated closing of the offering; the Company’s anticipated use of proceeds from the offering; the acceleration of the Company’s inorganic growth strategy; the continued execution on the Company’s backlog; and other statements that are not historical facts, including statements which may be accompanied by words such as “continue,” “will,” “may,” “could,” “should,” “expect,” “expected,” “plans,” “intend,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” and similar expressions are intended to identify such forward-looking statements. All forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, many of which are generally outside the control of Cycurion and are difficult to predict. Examples of such risks and uncertainties include, but are not limited to, the outcomes of the Company’s investigations, any potential legal proceedings, or the future performance of the Company’s stock. Additional factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements can be found in the most recent annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K filed by Cycurion with the U.S. Securities and Exchange Commission. Cycurion anticipates that subsequent events and developments may cause its plans, intentions, and expectations to change. Cycurion assumes no obligation, and it specifically disclaims any intention or obligation, to update any forward-looking statements, whether as a result of new information, future events, or otherwise, except as expressly required by law. Forward-looking statements speak only as of the date they are made and should not be relied upon as representing Cycurion’s plans and expectations as of any subsequent date.

Cycurion Investor Relations:
(888) 341-6680
investors@cycurion.com

Cycurion Media Relations:
(888) 341-6680
media@cycurion.com