I'm not surprised at all that a company doesn't want to refund you because of a political disagreement you have with them.
What's important here is how they handled this. A company can issue a refund anytime it likes, the ToS notwithstanding. Those are rules they made up.
Telling me that it is impossible to issue a refund is just lying. It's not impossible; it's very doable.
If they (or any company) deliberately choose not to issue a refund they should state it like that, in plain language, not pretend that they have no choice in the matter.
Likewise with botching my account downgrade; only after I pointed out there error did they restore the quota but then acted like it never happened.
It isn't simply the lack of a refund, it's the bogus way they did it. Actions like this reveal the character of a company.