He never intended to make things right. It was evident from how he dragged it for months and years. There are now hundreds of GPL sites running without any issues.
I was a lifetime member and had maybe like 5 downloads in total after I came to know he's just downloading them off other GPL sites and uploading them on his website. How I came to know? There was literally a file that had the name of another GPL site, he was lazy enough to not even change the file name. Yet, he claimed on his sales thread that he purchased all of these items with his own money. I didn't create a thread because I don't like unnecessary drama in my life, also because, people were going gaga over his 'generosity' of sharing free items which were basically just curated items from multiple other websites, which I realise was my bad, because I should've warned people here.
Not going to debate about whether he should've refunded lifetime members, but still charging people for a non functional service is a douchey move. Business going bad should never be a reason to scam others. If he didn't have any malicious intention, he should still make things right by refunding those who were charged without rendering any service.