I had a friend who lost $14,000 with PayPal in 2003. They locked him out for 6 months and never paid him his money for long after releasing his account. Then had another friend from Canada who lost $800 to them.
Last year my account was locked because I received multiple payments from associatedcontent.com for my articles. I was furious and thought I had lost the money I had in there (about $400). What I did was -
Emailed a friend of mine who had paid me around $400+ and told him to send me some extra money to equal what he had then sent me.
Next, I searched for the old transaction that he had sent me and I clicked the refund button. Voila!, the money went into his account, which he later sent through Xoom.com.
After the money was cleared from my account, I sent abusive emails to them, one after the other and took all my frustration out. Believe me guys, in about 4 weeks, my account was released and they apologized to me. Yes, I sent them my ID and address proof to avoid any future hassles.
That's my story.