I lost my source of income after being conned

As Ragab and others mentioned, it's possible to get it back.There are other ways to make the website unprofitable for him as well, and to rebuild/replicate the website via fast lane if you were careful enough to keep external backups -as you mentioned members there must be some sort of forum or database driven cms that keeps track of members.

It used to be not-so-hard to make this public at the main domainers' forums and get help directly from registrars' representatives to regain control of domain, but since a couple years ago those places are less frequented by said persons. There are lots more you can do, just think logically.
 
I was in need of money and now he has ruined the site's reputation by asking donations from my readers.

Is it Paypal donations? Then find a good lawyer and contact Paypal support, his hosting, ICANN, and if you/he monetize the website with ppc/aff/.. contact all of them. :)
 
Keep trying to get your site back, meanwhile don't forget to build another website for your income.

Good Luck
 
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