This wasn't a dispute though. This was clearly fraud, and I think it becomes criminal due to wire fraud (fraud crossing state or national borders).

To me, this falls under the category of white collar crime. I'm OK with white collar criminals serving time. It's not like this case is in a gray area. It's clearly a conspiracy to commit fraud on a large scale.

I get where you're coming from. It's not stealing. But, setting up fake accounts in order to trick Spotify into sending him money is clearly fraud.