I had a typo. The Sammy was correct but the Naomi should have been [name] instead of [romfilename]. When done correctly you won't see the screen you attached.
Here's the corrected settings.
executable \Emulators\DEmul\demul.exe
args -run=naomi -rom=[name]
executable \Emulators\DEmul\demul.exe
args -run=awave -rom=[name]