 I have more news....
Thank you those who have replied. I have found out that Paypal is covered by our Banking Ombudsman and I have put a complaint through to them. It is a known fact that no-one likes to be contacted by the Ombudsmans office, it is time consuming and often not the result that big companies want. (I hope so) I have a contact in the Post office who is going to check with the delivery people to see if they remember delivering 2 large unusual packages to the address. I think the guy got them the fact he did not contact me asking had they been sent was a bit of a giveaway. I will not rest until this is overturned, Paypal picked on the wrong person.
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