Questions about buying stolen LLLL.COM Domains.

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Two months back there was an auction in ebay for a list of LLLL.com domains along with another 10 other premium domains for sale.

My friend won the auction by bidding for only $420 :eek:

It was a profit as it was a great list of domains that would have fetched about $1000+.

But, just yesterday I was generally surfing and I found out that those domains were mentioned in a forum as stolen domains.
I was shocked so I did a google search and found even more similar posts regarding the domains which proved ,indeed they were stolen.
Now, I told my friend and he is really upset :(

We planned to return it to the real owner but,then he has paid for it and it wud be a great loss for him. I don't want him to incur any loss and also we both want to return it to the real owner but in a way that my friend gets his money.

He tried to contact the ebay seller, but he is already suspended(1 month back!)

Please suggest an idea so that none of the party has to suffer.
 
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