So regardless your saying is that Amazon is no better than EBay. They allow the buyer to scam sellers and yet the seller has no course of action. It sounds like a law suit you can file against Amazon. Legally the buyer isnt entitled to any refund because you dont have the product. Regardless of cash to product or product to cash. There's an exchange. Unless stated otherwise by you, Amazon broke the law in giving the buyer back the money without having the buyer submit proof of return. So you can file a law suit against Amazon stating they gave the money back to the buyer prior and not having the product. The reason why Amazon does it, is that no one has the balls to take action. The blame is Amazon that should be sued, the buyer just took advantage of what Amazon's policies and procedures were.