Delivery driver pleads guilty to stealing $2.5m from DoorDash | Business and Economy

US federal prosecutors say defendant and co-conspirators got the company to pay for deliveries that never occurred.

A former food delivery driver pleaded guilty to conspiring to steal more than $2.5m from the food delivery service DoorDash.

Sayee Chaitanya Reddy Devagiri pleaded guilty on Tuesday in a federal court in San Jose, California, to a single count of conspiracy to commit wire fraud, the US Attorney’s Office said.

Devagiri and his co-conspirators would get the company to pay for deliveries that never occurred, federal prosecutors said.

Devagiri, 30, of Newport Beach, California, admitted to working with three others in 2020 and 2021 to defraud the San Francisco-based delivery company, federal prosecutors said. The other three were indicted by a federal grand jury in August.

Prosecutors said Devagiri used customer accounts to place high-value orders and then used an employee’s credentials to gain access to DoorDash software and manually reassign the orders to driver accounts that he and others controlled. He then caused the fraudulent driver accounts to report that the orders had been delivered when they had not and manipulated DoorDash’s computer systems to pay the fraudulent driver accounts for the nonexistent deliveries, officials said.

Devagiri would then use DoorDash software to change the orders from “delivered” status to “in process” status and manually reassign the orders to driver accounts he and others controlled, beginning the process again, prosecutors said.

Devagiri is the third defendant to plead guilty to having a role in this conspiracy. Two co-defendants previously entered pleas to one count of conspiracy to commit wire fraud, authorities said.

Manaswi Mandadapu pleaded guilty this month, and Tyler Thomas Bottenhorn pleaded guilty in November 2023. Bottenhorn was charged separately.

Devagiri faces a maximum sentence of 20 years in prison and a fine of $250,000. He is scheduled to return to court on September 16.