OK Guys, since this is a real issue with future online trading, esp. wit conmen around, I've taken the initiative to ask some good frens MIB high ranking officers in Bukit Aman on this situation. Here is the advice they have given.
1st - Lodge a police report wit the nearest Police Station in your area wit full details and as many prove as possible wit regards to the trades (emails, receipts, etc.) make photocopies of it and show it to the officer attending it. U "might" or "might not" get some odd/rude respond from the officer but if need so tell him/her that u'll called Bukit Aman for advice on how to lodge this type of fraud case if not getting full cooperation. Most of them will be in their best behavior after hearing you say that

Please be in your best manner when dealing this as u r the one seeking help.

Do not try to intimidate the police officer always

Just be polite
2nd. Go to your local bank branch with which u did the trf and ask for assistance in this fraud case, remember to bring along all your paper works (police report, photocopies of this and that, etc.) They will tell you wat is the course of action next.
3rd. Round up as many as you can that have been cheated in this case and make a group report together wit all your reports, paper works, etc. to Bukit Aman if no action is being taken and REMEMBER - DO NOT TAKE THE LAW INTO YOUR OWN HAND!!

ONLY DO THIS STEP No.3 IF YOU ARE GETTING NO RESPOND FROM THE POLICE OR BANK.
NO MATTER HOW SMALL THE AMOUNT IS, IT IS STILL TANTAMOUNT TO CHEATING AND FRAUD, AND IT IS PUNISHABLE BY LAW.
I'll stress that it is best to keep in contact with your bank and local police station for further news!! Trust me if you follow all the steps above, sumthing will definitely happened to this fraudsters.
Hopefully this will help to prevent future con-artist wanabe, but the best deal is still COD with NO DEPOSIT as you've yet to check out the condition of the item/s u r buying and refund policy/matter will be another real issue as not even the police or any law can decide who is right or wrong, who is speaking the truth or not.
** I've bought sumthing off the net from oversea and delivered thru FEDEX but my mistake was I signed the release/receipt of the item before i even fully tested it. It was a second hand item therefore warranty is non existent. I've ask for refund but heaps of argument follow. So I've learn my lesson and so have some of you here!! But I still believe we should have a good future in online trading....
Cheerios...