While I really do sympathise, members do have to put in the effort if a deal goes sour, we cant just ban a member because a paypal dispute didnt go your way.
BYT
in your case, bearing in mind that I don't have the full facts, you should be disputing the outcome with PayPal, not necessarily because they sided with him, but because he hasn't returned your goods, that should be a given in their mediation process.
If your attempts at this have failed so far, maybe because some very polite people from the Philippines have politely made promises to look in to it (& then done nothing), you need to push to speak to a UK based agent who will hopefully have a better grasp of what's gone on & the unfair outcome.
I'm speaking from experience, getting the right agent can turn things around.
Again, without knowing the finer details, you could contact the online fraud dept of the police, you have his name & address, & I would hope you have some proof that the lies you alleged he told to paypal to support his claim are just that, blatant lies.
This would also then give you some credibility when approaching paypal.
Good luck, just don't give up.