That's exactly what he is! He told me that he bought it from a friend and that he was only relaying to me what his friend told him about the engine. So I guess that makes his friend the liar. Whatever makes it easier for you to sleep at night I guess.
Offering to give me a refund is stand up of him, but I would still be out my gas costs (two trips) and a whole day spent hauling it back and tearing it down. Live and learn I guess.