I blew up my coworker’s petty scam, and watching him panic about getting sued is the best part of my week

I have a coworker who thinks he’s the smartest person after he said he figured out how to steal from small businesses. For the past couple of weeks he hasnt shut up about how easy it is to exploit “damaged in transit” return policies. He targets small independent webshops, usually people making custom ceramic mugs, prints or boutique home goods because they usually just issue an immediate refund without asking the customer to ship the broken piece back. His routine?? Buy an item, use image generation to fake a photo of the exact same product shattered or cracked in the box, file a claim, and get his money back while keeping the “broken” item. Last thursday he was laughing over lunch about doing it again to a small pottery business. He showed everyone the “proof” he made to show off, it was so sloppy it offended me. He was so lazy he didnt even crop out the gemini watermark sitting right near the edge. The owner had already refunded him, apologetic as hell. That was the breaking point. Seeing someone run a small busness on razor thin margins get mocked by this guy turned my stomach. I grabbed the image he sent to our group chat earlier, checked it through truthscan and get the result because Im about to send it to the pottery busness owner as proof. I emailed the business’s public support email, attached his photo, the ai detector report and a short message letting them know this buyer was systematically gaming their refund policy with synthetic photos. Two days later, the owner replied to him, an official email stating that due to repeated fraudulent claims and image tampering, they were escalating the case for wire fraud and consulting legal counsel. He has been a ghost for the last 48 hours lol. The smug smirk is completely gone. You can see him get scared everytime his phone buzzes frantically trying to figure out how they caught him. The funniest part is that the owner actually replied to me yesterday to thank me. She told me they arent actually going to waste money on a lawyer- they just wanted to rattle his cage and make him sweat for treating their kindness like a joke. Im supposed to feel bad for putting a coworker in a genuine panic attack, but honestly, watching him sweat through his collared shirt is the most satisfying thing that’s happened in this office all year.