PayPal - EBay Company refunded money to buyer then ordered my guitar DESTROYED Internet

Sept./09 I sold a guitar via EBay to a buyer, Mike POST in Guelph Ontario Canada. The guitar was advertized as "A Beautiful D45v acoustic guitar" I included some photos,one of which was of the headstock which had inlayed "CF Martin" on it. It had been manufactured in China and indeed was beautifully crafted. It sold for $1725.86 Canadian dollars.

This guitar was bought by me on the internet earlier in the summer of 2009.

I did NOT list it as a Martin guitar for that reason. I had quite a few questions asking for serial number which is quite usual, from various buyers and when they found that the instrument was not a "genuine Martin" they stopped bidding. I had a reserve of $3500 USD. The final bid was from Mike. He did not ask any questions but grabbed the item very quickly. I emailed him that he could have the guitar at that price and he immediately sent the funds via PayPal.

When he received the guitar he complained and entered a case of "Not as Advertized" saying that he thought it was a Martin.

PayPal took over and eventually decided that the guitar was as they said "counterfeit" and ordered it DESTROYED and returned the money to the buyer.

I appealed and to-day they upheld their decision and closed the case.

I maintain that if PayPal refunded the money then the item should have been returned to me and not ordered destroyed by paypal.

The buyer supplied PayPal with some dort of document to the effect that the instrument was "counterfeit", from some friend of his. I think this is pretty gross.

I need my instrument back or else some sort of monetary settlement.