Three men from the Phoenix area have been sentenced to prison for their role in a scheme that defrauded Amazon of millions of dollars by manipulating Amazon’s logistics payment system.U.S. authorities said the fraud involved a former Amazon employee who used his knowledge of the company’s internal systems to boost delivery rates for third-party shipping companies.Abdullah Alwan (28) from Surprise, Arizona, was sentenced on March 2, 2026 to six months in prison. Previously, brothers Mughith Faisal, 29, and Basheer Faisal, 28, both from Glendale, Arizona, were sentenced to 18 months in prison on February 5 and February 17, respectively. All three men had previously pleaded guilty to wire fraud.The court also ordered each defendant to pay $1.5 million in damages to Amazon.Alvan worked in Amazon’s logistics division before leaving the company in 2021, according to court documents and court statements. Investigators said he later used his knowledge of Amazon’s internal systems that create and track shipping loads for deliveries.“According to court records, Abdullah Alwan, a former Amazon employee, used his knowledge of Amazon’s systems to increase standard rates for third-party carriers’ shipping deliveries.”The increased rates benefit Blue Line Transportation, an Arizona-based company run by the Faisal brothers. The company has been approved by Amazon as a third-party carrier responsible for shipping goods.“Basheer Faisal and his brother Mughith Faisal operated a third-party shipping company and knowingly accepted fraudulently increased shipping rates that Alwan entered into Amazon’s system, collaborating with him to defraud Amazon of approximately $4.5 million.”Authorities said the scheme allowed the group to charge payments well above normal delivery rates.
