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I'm not sure nominet can be of any help on this one, think it would need to be a civil court you should head towards although probably jurisdiction may be a issue. Even though you may have a receipt for payment. To Nominet this only means that you have paid "somebody" and not necessarily the owner of the domain.
Even though a court may not be able to hand over the domain, they will be able to enforce costs on the seller, costs that you have lost out on due to the sale falling through. Costs such as the amount you had to pay for a site to be built and graphics made up etc.
Go to HM money claims online and give it a pop, they send him a letter from the court and it will at least shake them up a little.
All the best
GW
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