Yes. Even when it's a try out. I mean the guy was working all day. He wasn't sitting on his ass picking his nose. It was obviously a scam.
You need to take care of this for two reasons:
1: He will pull this shit with other people.
2: This could be the beginning of a really vicious circle. Stand up in situations like these and it'll help you gain experience in case this happens later on with someone else.