Who is the wrong person in this situation and what should I do?i was screwed over with babysitting.?

I would do something... I mean you never know, if she's bringing you cereal and crystal light to feed the child with that could be what they're feeding the children at home. Crystal Light isn't healthy for a child of that age the whole child care for dog care thing does sound a little... not right. So in my opinion you should do something for one she owes you money and two the children might not be getting the proper care at home.