Who do you report an internet user to, who is guilty of fraudulent activities?

My daughter went onto the internet looking for a Yorkie puppy for her three little girls and found a sight advertising Yorkies for sale. Will not mention the name of the web sight at this time. She was promised a puppy which she paid for by sending money to the person advertising. She received telephone verification and was told that the puppy would be delivered to her door. She also received an e-mail stating that the company delivering her puppy was in her area, but could not find her house. She tried to call the same person who had called her to tell him how to get to her home. No answer. Tried to e-mail him, no response. We later found out that the puppy was supposed to have been shipped from Pennsylvania. The web address and contact person was in California. Bogus telephone no. and bogus web address.

How can anyone get away with swindling people and feel good about it. Is there anyway these people can be tracked down and stopped? Would appreciate any help.

I would begin by contacting the attorney generals office in the state (s) they "appear" to be based in. The other consideration is filing a complaint w the FCC. Good Luck!!