i dont know, my dad had a similiar situation
he sent $400 via Paypal to a guy for a laptop on ebay, laptop never came, gave him a week, kept emailing excuses, it shipped yesterday, never shows up, email him, he says oh yeah, it didnt ship, will ship tomorrow, etc...etc....
so my dad filed with Paypal like you did, and he filed with ebay, and then he looked at the guys feedback and saw another unsatisfied customer, contacted him, and together they found out where the guy lived, contacted the local sheriff, they went and picked him up, told him he would get out when my dad either had the exact laptop in his hands or the money back.......lol
it only took a few hours for him to have one of his friends western union all $400 back
if the guy's Paypal account is empty, they can try to watch it and nab any money he puts back in it, but if he is smart he will sign up for a completely new paypal acct to avoid that, not really much Paypal can do if there's no money there and he closes his account, you may have better luck doing some homework yourself and finding out his real name and where he lives and contacting the local authorities
it will give you address, directions, weather, phone number and everything of a person if they are in the database, pretty scary stuff actually
you can also work with the OCC site admin and get a IP address, then go to this sitehttp://www.geobytes....htm?GetLocation
it's pretty accurate, when i visit it it shows me where i live just by auto detecting my IP