what does one do?

So, I took part in a mini-sprint tri yesterday (half-a-mile swim, 5.5m bike, 2.2m run).
I'm no Michael Phelps (takes me over 40min to do the swim in a half-ironman) so I knew that with those ratios this wasn't going to greatest race for me and it was going to be all about passing people on the bike'n'run..
So, I take a rather leisurely 17 minutes or more on the swim and get to work.
There's less than 250 people participating and I pass more than 40 of them on the bike and run and I'm ten yards back and gaining nicely on this guy heading out on the last out'n'back of the run when.... he takes a huge shortcut. Chops 200 yds off a 2.2mile leg!
And he knows he's done it, turns to me as he hacks off the corner and says, "is it this way?" and i say, "i think it's straight on" and keep running.
So, I do the extra and think I'll just have to try and make the 200 yds back.
Which I do, so we make the final turn and he's ten yards ahead again and it's a flat sprint.
Which he wins by a yard, to loud cheers from his fan-base.

As we stand there catching our breath, he says, "guess i went the wrong way there", and i say, trying to be nice, "easily done, coulda used a marshall out there".
But the word 'marshall' doesn't ring any bells for him and he's off to hugs and congratulations from his team.

So, now I'm in at least four minds..

Should I snitch to an official (i don't)
Should he at least have given me a yard (and a place) given he'd taken 200 of them
Should I even be annoyed, it's a fun run after all, not a Kona slot
Should I just work on my swim so I don't find myself giving cheats a 5 min head start in the first place (of course I could have swum a 12 min leg and still had someone cut a corner in front of me)

What say you?

(And thanks for letting me vent, I feel better already!)