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Former medical device CEO indicted for securities, health care fraud

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PBN Staff

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01/22/2026

FORMER ZYNEX Inc. CEO and founder Thomas Sandgaard and Zynex executive Anna Lucsok were each indicted on charges of securities and health care fraud, interim U.S. Attorney for Rhode Island Charles — FORMER ZYNEX Inc. CEO and founder Thomas Sandgaard and Zynex executive Anna Lucsok were each indicted on charges of securities and health care fraud, interim U.S. Attorney for Rhode Island Charles "Chas" Calenda announced Wednesday. / COURTESY U.S. DISTRICT COURT

PROVIDENCE – The former CEO and chief operating officer of a medical device company has been indicted on charges of securities and health care fraud, according to interim U.S. Attorney for Rhode Island Charles C. Calenda. Former Zynex Inc. CEO and founder, Thomas Sandgaard, 67, of Castle Rock, Colo., and a dual citizen of the U.S.

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PROVIDENCE – The former CEO and chief operating officer of a medical device company has been indicted on charges of securities and health care fraud, according to interim U.S. Attorney for Rhode Island Charles C. Calenda. Former Zynex Inc. CEO and founder, Thomas Sandgaard, 67, of Castle Rock, Colo., and a dual citizen of the U.S. and Denmark, and Zynex executive Anna Lucsok, 39, a resident of Denver, Colo., and a dual citizen of the U.S. and the Ukraine, were charged with health care fraud and conspiracy to commit health care fraud, mail fraud, securities fraud and aggravated identity theft. It wasn't immediately clear why the case is being prosecuted in Rhode Island. Sandgaard and Lucsok are accused of running a scheme from 2017 to 2025 to fraudulently obtain millions of dollars from the government and private health care insurers, patients and Zynex investors by hiding that the company’s revenues were driven by fraudulent billing. According to a grand jury indictment, Sandgaard and Lucsok caused Zynex to collect over $873 million for its products, including more than $600 million for supplies, most of which were unnecessary and improperly billed. The indictment alleges that supplies were shipped in excessive volumes, sometimes as large as 32, 64, or 128 electrode pairs per patient each month. Sandgaard and Lucsok used these fraudulent billings, and the revenues derived from them, to fraudulently inflate the company’s financial reporting and drive up the stock price of Zynex, the indictment alleges. “This case represents a troubling abuse of patients seeking care, as well as the federal healthcare benefit system,” Calenda said. "As alleged, the defendants’ conduct undermined programs intended to serve patients in need. Our office remains committed to protecting the integrity of these programs and holding accountable those who seek to exploit patients, payors, and investors.” Sandgaard and Lucsok are also accused of submitting fraudulent billings for medical devices and supplies that were not medically necessary, not covered by insurance programs and not agreed to by the patients. They continued these practices despite being notified many times that their billing practices were fraudulent, and even when patients told Zynex to stop sending those supplies because they already had too many, according to the indictment. When financial reporters questioned Zynex’s business practices, Sandgaard hired an individual to attempt to disrupt the reporters’ personal lives. This included signing reporters up for therapy sessions and listing conditions such as erectile dysfunction. They also sent used female underwear to a reporter’s spouse at the reporter’s home with a thank you card addressed to the spouse, detailing the reporter’s alleged “illicit behavior.” The federal government has sought to restrain assets of Sandgaard or related entities, including a Porsche, a BMW, a Mercedes-Benz, real estate properties in Colorado and Florida, multiple bank accounts and a Gulfstream G-IV aircraft. The government has also sought to restrain the assets of Lucsok, including real property, a Porsche, a Volkswagen SUV and various bank accounts. The case is being prosecuted by First Assistant U.S. Attorney Sara Miron Bloom and Assistant U.S. Attorney Peter Roklan.