similar experience
In a similar experience, I won a raw Luther Taylor Rotograph (portrait) card in an auction about 2 years ago. I paid alot for it based on the apparent VG-EX condition. When I sent it in to be encapsulated by SGC, it came back as altered due to color added. I was also disappointed like you were. I contacted the auction house and let them know what happened. At first they said they would contact the seller to see if he would do anything to make it right. After about 2 weeks of no response and a few non-returned calls, I finally reached someone at the auction house who said, "The owner isn't willing to offer any type of discount off of the price you paid and neither are we, but if you want to return the card, we'll refund your money." Since I had been waiting for one of these for a while, I just decided to keep it. Fortunately, I haven't seen one since and I'm glad I have one even though the deal left a bad taste. That sounds like how it will end up for you too.
Scott.
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