May 23rd, 2025
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Federal prosecutors have stated that a former delivery driver has pleaded guilty to conspiring with others to defraud DoorDash of over $2.5 million through a sophisticated scheme involving fraudulent, company-funded orders. According to the U.S. Attorney's Office, Sayee Chaitanya Reddy Devagiri entered his guilty plea on Tuesday in San Jose federal court, admitting to conspiracy to commit wire fraud. Prosecutors assert that Devagiri, 30, of Newport Beach, California, confessed to collaborating with three accomplices in 2020 and 2021 to swindle the San Francisco-based food delivery service. Devagiri allegedly exploited customer accounts to place high-value orders, then illicitly accessed DoorDash's software using an employee's credentials to reassign these orders to driver accounts controlled by himself and his co-conspirators. Authorities contend that Devagiri subsequently marked these bogus orders as delivered without actual fulfillment, manipulating DoorDash's computer systems to disburse payments for phantom deliveries to these fraudulent driver accounts. Prosecutors further allege that Devagiri recycled the scheme by reverting the order status from "delivered" back to "processing" within the DoorDash software, enabling him to repeatedly reassign the same orders to his network of compromised driver accounts. The former delivery operative, who pleaded guilty in November 2023, admitted to participating in a wire fraud conspiracy within the elaborate scam. Devagiri is the third defendant to be convicted for his involvement in the conspiracy, facing a maximum sentence of 20 years imprisonment and a $250,000 fine; he is scheduled to reappear in court on September 16th.
May 23rd, 2025
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