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It's a pretty well known thing to occur. These people make ghost accounts, if it doesn't get up to a high enough bid, they'll falsely bid it higher. Ebay fees most likely dont apply because all they have to say is the person never paid and I believe it gets relisted for free.
Unfortunately it's pretty common and one of the reasons I don't deal with Ebay, I'll buy from Amazon, I don't save as much but the hassle is much less.
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