Bigdaddy, I certainly WILL inform Google of policy violators. They seriously damage our income by attracting visitors away from natural SERPs. This isn’t a case of fair SEO, it’s a case of ‘friends’ of Google being allowed to bid with the majority closed out.
I can see your point with sites like RealVegasOnline, AmazingGamblingSystem and WinningBaccaratSystem. RealVegasOnline.biz is a free casino site but if you sign up to WinningBaccarat you get an email pointing you to RealVegasOnline.com their real money site. So it’s pretty clear they are owned by the same company.
But for the people that can get up for a week or so before getting yanked I say good for them. I did it for along time and made out great. Now I’m banned from adwords no matter what sites I submit. I still don’t have a problem with people doing what I did. You can’t get away with it forever (unless you are the 3 sites I mentioned above) but trust me, it’s worth the trouble even for a week.