2 former Colorado medical executives indicted in $873M health care fraud scheme

Medical devices often 'sell' unneeded devices for pain relief such as the well known "TENS' unit for pain relief.   Normally device companies are required to obtain a prescription from a licensed provider, MD, DO, or a physician provider on an insurance plan.  This scheme was ongoing for a prolonged period of time.

Photo by: zynex.com/Google

By: Robert Garrison

Posted 3:52 PM, Jan 21, 2026

 

and last updated 4:07 PM, Jan 21, 2026

DENVER — A federal grand jury has charged two former executives of a Colorado medical device company with planning to cheat health care programs and investors, and with other types of fraud.

The Rhode Island grand jury unsealed the indictment on Wednesday, charging the former chief executive officer and chief operating officer of Zynex, Inc., a Douglas County-based company.

The video player is currently playing an ad. You can skip the ad in 5 sec with a mouse or keyboarThomas Sandgaard, 67, of Castle Rock, and a dual citizen of the United States and Denmark, and Anna Lucsok, 39, of Denver, and a dual citizen of the United States and the Ukraine, were indicted on one count of conspiracy to commit health care fraud, mail fraud, and securities fraud; nine counts of health care fraud, two counts of mail fraud and three counts of aggravated identity theft, announced United States Attorney Charles C. Calenda.

Prosecutors allege that from 2017 through 2025, Sandgaard and Lucsok orchestrated a scheme to fraudulently bill government and private insurers, collecting over $873 million, including $600 million for excessive and unnecessary supplies.

Sandgaard and Lucsok allegedly used these fraudulent billings and the revenues derived from them to inflate the company’s financial reporting and drive up Zynex's stock price, according to the United States Attorney’s Office for the District of Rhode Island.

“This case represents a troubling abuse of patients seeking care, as well as the federal healthcare benefit system,” said Calenda in a statement. “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.”

The indictment also accuses Sandgaard of retaliating against financial reporters by attempting to disrupt their personal lives, including sending used underwear to a reporter’s spouse.

Federal authorities have moved to seize assets from both Sandgaard and Lucsok. These assets include luxury vehicles, real properties in Colorado and Florida, bank accounts, and a Gulfstream jet.

2 former Colorado medical executives indicted in $873M health care fraud scheme