Man Pleads Guilty to Selling Used Medical Devices

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Kambiz Youabian (Tarzana, CA) has pleaded guilty to a two-count information charging him with mail fraud and introducing misbranded medical devices into interstate commerce. The government says Youabian operated an almost $6 million scheme in which he knowingly sold used skin-tightening medical devices that were deliberately misbranded as new, as well as counterfeit devices that he claimed were to be used with fat-reducing laser machines.

Youabian owned and operated MSY Technologies Inc., which did business under the names “Thermagen” and “Global Electronic Supplies,” according to a Justice Department release. From 3/2016 to 6/2022, Youabian purchased used and depleted transducers, devices that are used to tighten the skin of dermatology patients by delivering ultrasound energy to their skin. He remanufactured the depleted transducers and added fabricated serial numbers to make them appear to be new, the government contends.

Youabian admitted in his plea agreement to unlawfully selling thousands of medical devices, and receiving almost $6 million in fraudulent proceeds that should have been paid to the companies that are the sole U.S. distributors for these devices, the government says. He is scheduled for a 6/26 sentencing hearing and faces up to 23 years in federal prison.

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