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Ebay fraud, what should I do?

I'm at work, can not type in Chinese, sorry about it.

I registered for CFA lvl 1 Dec exam, and after review this board, I decided to buy a set of study notes. I checked on Ebay.ca (I'm in Canada), brought a set of study note BOOKS for $299USD, paid via Paypal. Twenty days later, a package arrived from Shanghai, there's two CD-R discs in it, oh my god, the seller sent me pdf copies of the books instead of the really book. I contacted Paypal and filed a claim, aypal agrees to refund my money only if I send the item back to seller with delieve confirmation and signture. I checked with Canada ost, this kind of service requirements will cost me almost $100CAD to send it back. Also, the return address is in Guang Xi. So, the seller registered his account in US, send the package from Shanghai, wants me to return it to Guang Xi. Can anyone tell me what should I do now?

Seller's return information:

Weilie Chen

Room402,No.108,Chengzhan Road
liuzhou
guangxi
545005
China

Ebay auction link for this item.

http://cgi.ebay.ca/ws/eBayISAPI.dll?ViewItem&rd=1&item=200128886610&ssPageName=STRK:MEWN:IT&ih=010

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