That is really sad -- I was looking at her website,
http://www.raffinankennel.net and you're right the pictures do look like they were doctored in Photoshop with the pinch tool.
Also, does this woman show??? She doesn't any Yorkie champs, but has Maltese and Pom Champions?? That is definitely odd.
There is a breeder in chattanooga, TN that is a puppy mill - I'm not sure if she has just Yorkies or what, but she has nice quality dogs and once or twice a year, she will pick ones she feels are good for showing and champions them out. These dogs get to live in the house and get the 'good life' but the rest of her dogs are chained in the back yard to these little wooden welping boxes under an overhang. Mothers and babies are out there, puppies, etc. She sells her puppies at a local flea market and doesn't allow anyone to visit her property. The law won't do anything because they feel these dogs have adequate shelter and food and water. I think her name is Cathy.
The only reason I know this is because my mom is good friends with another Yorkie breeder down that way who sells his puppies at a flea market, but he has an amazing kennel. So spotless you could eat off the floors and he takes super good care of them. He became 'friends' with her and she let him come take a look around.