Ebay refund money to customer

I am really upset and ebay decision to refund money to one of  my customers.  

Customer purchase expensive item and after some washing and cleaning this item (merino wool, washing in the washing machine) decided to return it.  Even after that I agreed that I will refund her as soon as I receive this item. She didn't want to return this item, she just wanted MONEY. 

They wrote to me that they reviewed the case.  No one even looked in this case.

Now ebay decided that they will deduct this money from me.  But I didn't receive this item back, didn't receive even tracking number I can check. 

Ebay don't care about sellers, what is the point to make money for them? I will mover everything to Amazon, no point to stay with ebay.  Very dissapointed.

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You should have provided the buyer with a return postage label through eBay and they would have needed to return the item, upload tracking and not until eBay sees the item returned delivered, will they issue the buyer with a refund.