I would definately let him know that you are pissed and dont appreciate him bending the truth quite a bit.
I would hope that he would offer to buy it back and apologize. At the very least maybe $50-$75 cash back for his indiscretion and the fact that used goes for much less. Hard to say not knowing what you paid. That's your business.
I would start throwing the liar & loser stuff around/negative feedback until at least he had the chance to offer a reply or an excuse.
The "cigarette-looking" burn AND dishonesty are what would have pissed me off the most.
Best of luck Sean.