Sadly not uncommon when you get off the beaten path. In many countries there is no requirement to carry safety gear and if you do get in trouble there is no Coast Guard or other rescue organization and if you get hurt you can not sue.
If they claim to be PADI then report it to PADI. If they are not PADI then PADI will put a stop to them claiming they are BUT I’ve seen ops just change the name and keep doing the same bad things until it hits the fan, that happened in Belize.