May 16, 2025 | JacobiJournal.com – Deliveries Scam Plea: A former DoorDash driver admitted in federal court this week to orchestrating a scheme that defrauded the company of more than $2.5 million. The case sheds light on how gig economy platforms remain vulnerable to insider exploitation and software manipulation.
Driver Used Insider Access to Steal Millions
Sayee Chaitanya Reddy Devagiri, 30, of Newport Beach, California, entered a guilty plea on Tuesday in San Jose federal court to one count of conspiracy to commit wire fraud. Prosecutors said Devagiri conspired with three others between 2020 and 2021 to exploit DoorDash’s internal systems for personal gain.
Specifically, Devagiri used customer accounts to place expensive orders. He then accessed DoorDash’s backend software using credentials from a cooperating employee. After that, he reassigned the orders to fraudulent driver accounts he and his co-conspirators controlled.
Orders Marked as Delivered—But Never Were
Once the orders were rerouted, Devagiri falsely marked them as delivered. This action triggered automatic payments from DoorDash to the fake driver accounts. To repeat the fraud, he reset the order status from “delivered” to “in process” and rerouted the same orders back to those accounts.
Notably, the scam relied heavily on insider access, allowing Devagiri and others to bypass typical safeguards. As a result, the group repeatedly collected payments for services they never provided. Deliveries Scam Plea
Additional Guilty Pleas Reveal Coordinated Plot
The now-former DoorDash employee who supplied system access pleaded guilty in November 2023 to conspiracy to commit wire fraud. He admitted to helping execute the fraud scheme. Devagiri is now the third person convicted in this wide-reaching conspiracy.
Sentencing Scheduled for September
Devagiri faces up to 20 years in federal prison and a $250,000 fine. His sentencing is set for September 16. The case raises urgent questions about how delivery platforms can better protect internal systems from misuse.
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💡 Tip for Insurers & Platforms: Internal access audits and cross-account monitoring are critical in detecting fraud involving insider credentials.
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