Damian Williams, the United States Attorney for the Southern District of New York, announced that Kyle Tsui was sentenced to 41 months in prison for conducting a fraud scheme that resulted in sales of approximately $5.9 million worth of fabricated allergy and sensitivity tests to tens of thousands of customers. Tsui previously pled guilty to wire fraud and mail fraud, following his extradition from Spain in November 2023. As part of his guilty plea, Tsui was ordered to forfeit the fraudulent proceeds he received from the scheme—more than $4.1 million—which Tsui paid in full in advance of sentencing and which may now be used to compensate victims of the scheme. In addition to the prison term, Tsui, 41, of Ontario, Canada, was sentenced to one year of supervised release and ordered to forfeit $4,165,884.70.
From September 2018 through April 2019, TSUI orchestrated a scheme to defraud customers of his company, the “Allergy Testing Company,” by purporting to sell food and environmental sensitivity testing services that Tsui knew were not, in fact, being performed. In total, Tsui sold fabricated tests worth approximately $5.9 million to more than 88,000 victims through an online marketplace. Tsui’s company promoted its “[h]ighly-rated, top selling sensitivity and intolerance test” that “determines how your body responds to 800 different food and environmental items” with just “a small hair sample.” But rather than actually test the hair samples as customers were promised, Tsui directed that the hair samples be discarded in the trash without any laboratory analysis. Customers then received fabricated test results purporting to identify certain foods and environmental factors that were “safe” for them and others that the customers were supposedly “sensitive” to and should avoid.
