Seller Takes Back Refund Because They Used Refund Amounnt For A Bill

I bought a Nook HD from Ebay. I received it and I  could not register it in my name. The seller’s information was on it.  I finally had to go to Ebay’s buyer protection. I won my case. I sent the product back. The seller relisted the item and sold it again. The seller refunded my PayPal account.Then cancelled my refund. Their reasonfor cancelling my refund wasthat they had used money for medical bills. I had to wait another month. The new amount from the new buyer wassupposed to be released to me on Dec.23,2014.  As of yet nothing in my account. I have contacted both Ebay and PayPal. Paypal sent me an email sayong they could not help. I have to collect money myself. Any help would be appreciated.

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