CPC_Andrew - 11:40 pm on Jul 27, 2011 (gmt 0)
I would highly recommend reporting any policy violations here:
Regarding shipping, you can add the on the fly shipping to display on Google Product Search. Check this out:
Then you can choose how to best go about applying your shipping equation. You'll need to include the weight of your items in the feed.
Also, if you have free shipping over a certain amount, make sure any products that cost more than that threshold have free shipping.