UPDATE: My co-worker hadn't shared any more dog-drama lately, and yesterday I finally asked him how the puppy was doing, since the last I'd heard, they were keeping him. They found him another home after all. He does still have the crate and toys, etc., and has been hoping to sell them so he can get some of his money back. I suggested he just donate them to a shelter.
P.S. I get *major* points for not smacking him through the phone when he spoke about getting some of his money back.
He did say the new owner has sent him pics and the puppy is very happy there, since the owner works from home and has another small dog. So he's never lonely, which was one of the issues my co-worker had. Puppy always wanted to be with him.
*SIGH*