Maybe I'm naive, but my feeling on this is that the seller made a mistake on the 1970 auction and after enough response that it wasn't a small date, he killed the auction in an effort to be honest. If there had been any malice, he would have tried to relist the auction. It doesn't feel right to keep looking at his auctions and trying to pick them apart. I think he made a genuine mistake and has done what he could to rectify it.
If Im not mistaken... The new auction is for a 1960 small date cent, not the 70S that was retracted. I don't think he's trying to scam anyone.