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Do PAYPAL loopholes permit fraud?

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WARNING: PAYPAL does not allow the investigation of payments to individuals, even if the purchase was made from a business. Beware HEATSTICKS USA. I made a purchase from this business. It requested payment be made via Paypal to an individual, [removed]. Phony tracking USPS tracking number was sent to me. And the products I bought were never received. Also, the business website was taken down. Paypal will not permit an investigation of this fraudulent activity because the payment was made to a person and not to a business. This is the third time in a year this has happened to me and it will be the last. I want to warn this community that Paypal's rules invite this kind of fraudulent activity. I am done with Paypal. I would participate in a class action lawsuit against Paypal for permitting this kind of fraud. 

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