A former Sunnyvale resident pleaded guilty Tuesday to three counts of health care fraud tied to a scheme that sought $137 million in bogus reimbursements from Medicare Advantage insurers, using a durable medical equipment company in connection with claims for equipment that was not provided. Sevindik Huseynov, a 48-year-old Azerbaijan national, admitted to aiding and abetting a plan that filed thousands of fraudulent claims for knee braces, back braces and wrist braces that patients never requested and doctors never prescribed.
Huseynov entered a guilty plea, as reported by the East Bay Times. He served as CEO of Vonyes Inc., a durable medical equipment company he registered at 830 Stewart Drive in Sunnyvale, and the scheme ran between January and June 2025. According to authorities, the operation targeted at least eight Medicare Advantage Organizations and submitted more than 7,200 claims for equipment beneficiaries never ordered, according to the U.S. Department of Justice.
A Shell Company With No Actual Supplies
California Secretary of State filings show Huseynov incorporated Vonyes as a general corporation on January 15, 2025, during the January-to-June 2025 period in which the scheme ran, naming himself CEO, CFO, Secretary and Director, per Bizprofile.net. A federal criminal complaint found that doctors listed on Vonyes's billing claims had never prescribed equipment for the company or treated the patients named on those claims, and financial records showed the company purchased zero actual medical supplies, the site's report notes.
Vonyes's registered Sunnyvale address was associated with the company, which was described as a medical-equipment supplier. The scheme involved claims submitted for equipment beneficiaries had not ordered.
Money Moved Fast, Then Moved Overseas
Huseynov received $2.8 million in reimbursement checks and deposited them into Vonyes bank accounts he had set up, then wired most of the money to bank accounts in Hong Kong, according to the same DOJ account.
A federal grand jury indicted Huseynov on September 25, 2025, months after his original arrest on June 26, 2025, as part of the Department of Justice's 2025 National Health Care Fraud Takedown — a nationwide sweep in which 324 people were arrested. He was one of three Bay Area residents arrested in that same takedown, which also included a San Jose man charged in a $68 million COVID-19 testing fraud scheme, per the Silicon Valley Voice.
What Comes Next in the Case
The three counts of health care fraud Huseynov pleaded guilty to carry a maximum penalty of 10 years in prison and a maximum fine of $250,000, and authorities said he remains in federal custody pending sentencing, which was scheduled for February 2, 2027.
The case involved fraudulent patient and physician identifiers. Before relocating to California, Huseynov's background is not detailed in the cited account.
The case fits a pattern of durable medical equipment fraud schemes that federal prosecutors have pursued nationwide, including a recent case detailed in Hoodline's coverage of a $34.8M Medicare brace scheme.
