Michael Papp i-Net Group took $20k from IRA for a real estate investment 3 years ago via ebay, ripped off! any recourse available? this is Internet Fraud, right?- Easton, Pennsylvania

In September 2007, I was encouraged to invest in real estate, and found Michael Papp on ebay.  I called spoke to him, told him I wanted to use some of my IRA (90% of it!), he sent the documents, and was very cooperative with my IRA custodian.  However, they sent a cashier check and asked for the completed agreement which he never sent to them.  I did receive some status reports, but when I later tried to verify the property, I could not establish that he had even purchased it or that it was even in livable condition.  He stopped answering the phone and his email address failed. I would like to pursue this in some way, but do not know how to proceed. Should I contact the police or District Attorney in Easton PA or is this for the Attorney General of that state or is it Federal?  I did conact a lawyer in that area in October 2007, but he wanted a $2000 retainer to get started and I didn't have that (don't have it now either). He was going to start with a demand letter to Papp.