---
schema_version: "secwatch.filing_event.v1"
accession: "0001493152-24-038531"
form_type: "8-K"
ticker: "KUST"
cik: "0001342958"
company_name: "KUSTOM ENTERTAINMENT, INC."
filed_at: "2024-09-27T23:59:59+00:00"
generated_at: "2026-05-31T01:05:37.434775+00:00"
event_type: "debt"
sentiment: "negative"
materiality_score: 0.7
calibrated_materiality_score: 0.7
confidence: "high"
source: SEC EDGAR
---

# Digital Ally increases secured note to $2M, extends maturity to Nov 2024 or merger close

## Summary
- Amended note principal raised from $1.425M to up to $2M; interest at 1.58% per month.
- Maturity earlier of Nov 1, 2024 or Kustom Entertainment merger with Clover Leaf.
- Existing defaults acknowledged; borrower owes $1,204,319.47 as of effective date.
- Repayment: 50% of ticket revenue on first 9,000 tickets, then 10% until paid.
- Extended $100k payment from Sep 26 to Oct 10, 2024.

## SEC filing metadata
- accession: 0001493152-24-038531
- form_type: 8-K
- ticker: KUST
- cik: 0001342958
- company_name: KUSTOM ENTERTAINMENT, INC.
- filed_at: 2024-09-27T23:59:59+00:00
- event_type: debt
- sentiment: negative
- materiality_score: 0.7
- calibrated_materiality_score: 0.7
- confidence: high
- sec_items: 1.01, 2.03, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1342958/000149315224038531/0001493152-24-038531-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1342958/000149315224038531/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001493152-24-038531
- JSON: https://secwatch.observer/filing/0001493152-24-038531.json
- Plain text: https://secwatch.observer/filing/0001493152-24-038531.txt

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.