Correct. Noone is obligated to do business with another, or obligated to provide explanation.is that any person/or business, has the right to deal with whomever they choose.
The refund in full of the OP's funds was clear indication that he should move on and look elsewhere.
This thread being started in and of itself answers the OP's original question in the title. It need not have been started, at least it the context that it was.
Damned if you do, damned if you don't....