I'm mainly selling them for RS activities, nothing illegal. You should be able to create and bot RS accounts on the same IP just fine. You will be given a specific IP, User, password, one port for sock5, and one port for https.
I sell unflagged proxies if you're interested. Other sellers will claim there's are clean but they are reselling used IP's. I've had no complaints on mine (:
yeah 10000% leave the dispute open. if you close it, they will can't refund you and they won't give your gold. If anything let it get escalated and you can provide information to paypal about them trying to scam you.