Unfortunately, this is a recurring practice, and people need to realize that an ad is no guarantee of there being a legit advertiser behind, although the "Ad" thingy probably leads people to trust it more than they should. Probably better to block ads altogether, but likely over 90% of the population don’t.

Hypothesis: I’m pretty sure that something could be done by simply providing ads with a hint to the age of the advertiser on the platform (icon, colour, whatever). These scams, I figure, tend to come from novel accounts, and probably get banned after being reported enough. They therefore likely do not live a long life in the Google ecosystem, and play more on the rinse and repeat from afresh type behaviour. Longer lasting advertising accounts are (and this is my hypothesis) less likely to lead to fake sites. Perhaps a simple yellow indicator pointing to a novel account advertiser would be useful to warn people to properly check the advertiser. Of course, if most of the advertisers in general are relatively novel to the Google Ads platform, this idea would be void.

Ideally though, Google would get their act together, and find more thorough procedures to verify their Ads. How? I don't really know. That's their responsability.