That's fine with me as long as I'm the brother.
Bottom line is if you do it and get caught, all receivers on your account (under some circumstances the primary is left alone) will be disabled. Moral arguments, righteous notions of capitalism and customers "fighting the power" aside. At the end of the day, you play by the services' rules, or you shouldn't be the least bit surprised when they shut you off. Charlie would, if I was Charlie I would...
The term you use to describe it is irrelevant. Theft, fraud, account stacking, packing, stolen services, misrepresentation... They really don't care in any event. You do it, they'll flip a switch and ruin your day. You can threaten to quit if they don't turn it back on, but the "audit nazis" as they're called don't care for that threat much. They're very likely to turn it off.
So the reality is you'll start problems for yourself, aggravate them, and then claim you were mistreated. It doesn't alter the fact that you were asked not to use X product in the manner you're attempting, and you're disregarding that and any consequences that may go with it. That's not self-righteous, at that point it's plain ignorant. In the time it takes for you to ask your attorney what type of "fraud" it is, Charlie will be worth another $1B.
Your point regarding law is correct; it would be civil, not criminal. However, as a business, DISH may exercise any legal authority (namely shutting you down and possibly hitting you with breach of contract) it has available as a remedy. No threat of jail time, or fines... just higher blood pressure, and no tv. In the time it takes you to attempt a mediation, Charlie's now worth an additional $1B (that's two billion so far for those keeping count.)
Pick your fights, hopefully in the future, you'll pick better ones worth the effort.