Oh and @Nykano -- I have no problem with / actually want examples like yours. If the hero jumps in and has the chance to save the innocent but is then given the option to sell the innocent down the river that's a good design. It gives fans of evil something to do and it makes the actions of the Paladin meaningful. Is the paladin really role playing if the option to be evil didn't exist?
Once the bugs are worked out the hag will be perfect.
What I don't like is when writers get directions like "stop thinking in terms of the hero's quest"