Sorry to hear about your ordeal.
Although you thought you fucked over paypal, they had the last laugh, and now they are making you pay hardcore for your tactics...
The original idea was to screw paypal, you got screwed, and now youre complaining.
I dont know what to say, other than, sorry to hear about it, and Paypal sure is a blood thirsty company that will gnaw on your bones till all the flavor is gone... every last bit.