Hey Crystal! I hear you and I understand how you feel but really it was the parent's responsiblity to ensure that a background check was performed. Just because a provider is unlicensed doesn't mean a parent can't run the appropriate checks. They can and they certainly should.
Here is another story of a LICENSED home in my area. A licensed daycare provider in a very nice area was running a meth lab out of her daycare. Turns out her brother had been release from prison and moved in with her. She obviously chose not to inform licesning of the change in living arrangements.
http://www.methpedia.org/news.php?id=565
Anyway, my point is this. A licensed daycare operator who wants to get around the rules, can find a way. People do it all the time and while being licensed may be a slight deterrant it is in no way a sure thing. You could have reported, and maybe it would have been stopped but more than likely she wouldn't have told them that the boyfriend lived there and just gone ahead and gotten her license based on lie. I'm sure it happens all the time.