[harry8]

Good observation. I should not need to be familiar with regulations in /your/ country either. The quote you outlined:

>> Paypal demanded, out of the blue copies of drivers licenses, passports, bank statements etc that they have no right to, claiming they needed them to comply with law.

Is a statement of fact. Make your accusation plainly about it if you choose to do so or maybe apologise for insinuating it?