Here's what happened:
1) Today there were four users who mixed our entire Eth reserve combined, which is about ~250 Ethereum.
2) This user mixed less than 1 Eth while our reserves were depleted.
3) The forwarding address that the user provided was for a service not their own personal wallet. This service only accepts Eth deposits greater or equal to 0.01 Ethereum.
4) Because our reserves were so low, the only way we could mix his transaction was by sending multiple transactions of less than 0.01 Ethereum which his service did not recognize.
5) The user did in fact get ALL of their Ethereum but not in the denominations they expected because our system will only do what it did in an emergency situation.
After discussion we are going to eat the $120 loss and resend it in one full denomination. This user will be getting about 20% bonus Eth from us because the rest isn't accessible to him because the service he uses won't credit it to his account unless it's a 0.01 transaction or greater.
Despite it being the most important holiday of the year, our turnaround time on this request was a few hours. We don't appreciate being called a scam service when today alone including all coins, we've mixed more than most do in a lifetime without issue.