My question involves criminal law for the state of: New York
I sold a Galaxy S7 on eBay last April to someone in CA. Then today I received a message from the seller saying "I bought a Samsung Galaxy S7 off you last April. Yesterday is was disabled because the previous owner reported it lost or stolen. I gave you $600 for a phone I used for 11 months - I would like a refund in return for the phone otherwise I am going to contact the police. This is fraud."
I purchased the phone on eBay a month prior to selling it and had no issues when I had it. I factory reset it before shipping it and was unaware that the phone was potentially stolen. I am still skeptical of the buyer's claim that the phone has been disabled due to it being reported as lost or stolen.
Any idea on what I should do? Can they take action against me? Just want to make sure I am going about this the right way to protect myself and not be potentially scammed, thanks!

