A Tarzana man pleaded guilty on Monday, Jan. 9, to federal criminal charges for running a nearly $6 million scheme in which he sold used skin-tightening medical devices that were misbranded as new, as well as counterfeit devices that he claimed were to be used with fat-reducing laser machines.
Kambiz Youabian, 49, entered his plea to mail fraud and introducing a misbranded medical device into interstate commerce, according to the U.S. Attorney’s Office.
Youabian owned and operated MSY Technologies, a West Los Angeles company that did business under the names of Thermagen and Global Electronic Supplies.
From March 2016 to June 2022, Youabian purchased used transducers, medical devices used to tighten the skin of dermatology patients by delivering ultrasound energy to a patient’s skin. Used properly, transducers are designed to provide no more than 2,400 treatments.
Through GES, Youabian purchased depleted transducers for nominal sums, typically $50. Youabian then remanufactured the depleted transducers and added fabricated serial numbers to make the transducers appear to be new.
Then, through Thermagen, Youabian sold the remanufactured transducers to healthcare providers and customers. To conceal his connection to Thermagen, Youabian used names of fabricated Thermagen employees and out-of-state commercial mailboxes for Thermagen’s return address.
Youabian admitted in his plea agreement to unlawfully selling thousands of medical devices, including transducers and fake PAC keys — medical devices used to operate laser machines designed to reduce fat on patients —and receiving at least $5,821,474.
U.S. District Judge Dale S. Fischer scheduled a June 26 sentencing hearing, when Youabian will face up to 23 years in federal prison, prosecutors said.