Disheartening news about PPC advertising

This news from MarketingVox is disheartening for PPC advertisers for myself. Foreign Fraudsters Mobilize Armies of Clickers for PPC.

What the article doesn't detail is who is paying for the results. Is it the advertisers or competitors or agencies? My AdWords charges jumped considerably at the beginning of the year. And I've always wondered how Business.com gets so many click-thrus to my site. My AdWords account allows me to keep control of what countries my ads show for, so I am less likely to suspect such a problem there (although a proxy server in the USA could be as a disguise).

The fact they are posting a news article directly from India says that this hasn't hit the US news yet. Related: See article below about 'trust'.