I am trying to implement hybrid cryptosystem as mentioned in https://en.wikipedia.org/wiki/Hybrid_cryptosystem
At the moment I have implemented following algorithm>
You are trying to encrypt using the (insecure) DES algorithm with an RSA public key. That's always going to fail, DESCryptoServiceProvider doesn't accept RSA keys. You'd need an RSACryptoServiceProvider for that.
You may want to consider using a specific library that already implements hybrid cryptography (PGP, CMS or one of the proprietary protocols). The way you are going at it your solution may run in the end, but it will not be secure.