Actually it would be fraudulent to not charge what was selected to be ordered. It was a bug that didn't save the selection properly (possibly just in Firefox too, the template didn't look that bad), but it was perfectly visible what was selected when the OP made the order.
IANAL, but this gets complicated. It all depends on whether a reasonable person, when seeing the error page with "no spaces in credit card field", would presume that nothing else in the form changed. If so, and the merchant is aware that most people presume that, then it could be fraud.
They are making a financial gain, by being aware that the terms have changed, and by misleading the customer into thinking that nothing has changed, they could be committing fraud.
The customer choose the original selection, and the merchant's systems swapped in a different, more expensive, version without telling the customer at the last moment, knowing that most people don't re-read everything again, then yes, that's fraud.
In addition, they claim that he purchased the 32.99 subscription. That step is unethical plain and simple. If you take 20 dollars from me and then claim I only paid 10, you bet it's going to look bad.