ACCC sues Miyagi: unqualified sales reps posed as doctors, sold $7,500 health programs

Sydney health firm faces Federal Court action over sales team posing as medical professionals to sell programs worth up to $7,500. ACCC alleges scripted fear tactics, refund denials, and unfair contract terms affected 6,000+ Australians between 2022 and 2025.

ACCC sues Miyagi: unqualified sales reps posed as doctors, sold $7,500 health programs

The Allegations

Miyagi Pty Ltd, a Sydney-based health and wellness company, is facing Federal Court proceedings over allegations its sales team posed as medical professionals to sell health programs costing $1,800 to $7,500.

The ACCC claims unqualified staff used a scripted line: "In my professional opinion, with your [disease], it's safe to say that you're at risk of things getting worse." The same script was used across programs targeting menopause, sleep apnea, heart disease, and diabetes.

Over 6,000 Australians signed up for 6 to 18-month programs between 2022 and 2025, following free phone consultations advertised on social media.

What This Means for Sales Teams

This case highlights three compliance landmines for sales organisations operating in regulated sectors:

Misrepresentation of credentials. If your team is using professional titles or implied expertise they do not hold, you are exposing the company to ACCC action. In healthcare, financial services, or any regulated vertical, claiming professional qualifications you lack is not creative positioning. It is misrepresentation.

Scripted fear tactics. The alleged "your life is at risk" script, applied uniformly across conditions, shows how pressure tactics can cross into misleading conduct. Sales scripts need legal review in regulated industries, especially when dealing with vulnerable customers.

Refund and cancellation policies. Miyagi allegedly denied refunds even shortly after contract signing. If your terms and conditions make cancellation unreasonably difficult, or if your team is trained to refuse legitimate refund requests, you are creating liability.

The Numbers

Miyagi operates with 51 to 200 employees and revenue under $5 million. CEO Shane Da Costa is named alongside the company in the proceedings. The scale of calls to 6,000+ customers suggests a dedicated sales operation, likely SDRs or BDRs working through social media leads.

ACCC Commissioner Luke Woodward said many consumers with complex health conditions were "left significantly out of pocket" due to alleged misrepresentations.

Compliance Context

This follows recent ACCC enforcement against misleading sales practices. The consumer watchdog is targeting businesses that use deceptive tactics in high-stakes verticals where customers are vulnerable.

For sales leaders: if your team operates in health, finance, or any sector with professional licensing requirements, audit your scripts, credential claims, and contract terms. The cost of non-compliance is not just fines. It is Federal Court proceedings and reputational damage that kills pipeline.

Miyagi has not publicly responded to the allegations. The case is ongoing.