a while ago I got fucked through westernunion.com - First thing I did was call up my CC, and tell them the story.
they did a chargeback.
A few months later, i get a notice from westernunion.com saying i owe them money, they aren't responsible for fraud.
I said fuck it - they had the guys bank account, they could've helped me get my money back, they didn't do shit.
For a while they harassed me with legal letters from a "Retained Attorney" - my opinion was the day they actually started legal proceedings would be the day I paid (as it was only a few hundred dollars total)
To say the least, the letters stopped, nothing ever happened, and its been 2 years. - Fuck paypal, they should help YOU get your YOUR money back, it was THEIR lack of security that allowed this to happen, and thats the attitude you should take.
Charge that shit back, then when the money is out of paypal's pocket, lets see how hard their fraud department works.
This may not actually work, but hey - its a start. They will probably do the same thing... Just thought I'd share my experience.