So yes, they're scamming Amazon.
In this particular case, I'll take your word for it
Well, that wasn't my intent

Anyone willing to verify it - all you need to do is try to create an AWS account anonymously (hint: you can't) and then decide if creating an account with fake personal/billing info is a scam or not. I think using deception to obtain a service is pretty much the definition of fraud, and reselling that service means profiting from fraud.