paypal Unauthorized use of PayPal credit card account Breach of Paypal Security Online OMAHA, Nebraska

I am a frequent shopper online, therefore set up a PAYPAL credit account. Had no problem for years, then suddenly, I receive a charge balance owed for $ 14xx.xx I did not purchase a thing. I received a letter from G.E.CAPITAL BANK the servicer of the PAYPAL account, stating my change of address to another city and state. Upon calling GE and PP , this is how I found out my account had been compromised. My account was charged for a computer and a load of laser ink jets.
These were sent to another city and state. I googled the address twhere  the merchandise was sent, then the name of resident and phone number, all legit it seemed. After reading the scam report on Mailhouse llc, I now know exactly what happened. You see Paypal has held me responsible for the fraud on my account, After a meager 8 day investigation, I am told there is no merit to my claim of fraud. I was able to gleen info from google, now upon googling the name of the resident where merchandise was sent, i found this person all over facebook,linkidin, my space etc all personal info, well also was
a small oneliner stating they had been employed by Mail House LLC, BINGO................. This I just found out an hour before submittiing this consumer addition to a very serious complaint. Now I will notify GE and Paypal, not that this will matter to Paypal, as most of there support is outsourced to the Phillipine Islands. Thank goodness it has not been outsourced
to Russia. At this point, I know not what will happen, as I am unable to pay, plus now PP wants a bank account to fund my purchases, not in this  lifetime...........whats wrong with this picture?????