The history of this reality's incarnation of S.W.O.R.D. most likely mirrors that of it's Earth-616 counterpart.
At some point after losing his job at Project P.E.G.A.S.U.S., Dr. James Power got to work at S.W.O.R.D.. This however made him and his four children, the young superhero team Power Pack, a target of the Skrulls, who had set their eyes on S.W.O.R.D. technology, in particular a Planetary force field disruptor that would allow them to end a blockade put on their homeplanet Satriani. Four Skrulls, lead by commander Lyja, impersonated the Power children and convinced Dr. Power to take them to S.W.O.R.D. during Take Your Kids To Work Day.. Once there, they subdued him and used his badge to gain acces to Peak VII and steal the force field disruptor. At this point, Paibok betrayed his team and stole a set of inhibitor colars and cocoon guns from S.W.O.R.D. to make his teammates his slaves and take down the real Power Pack..