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I'm sorry to hear that there's unrecognized activity on your PayPal account. If a fraudster did access your account using your password, it's crucial that you change that password right away to prevent them accessing your account again to try to get the money out of the account.
Please also check your account thoroughly for any other unauthorized activity. If you do come across any transactions that you did not make, please report them.
You may also wish to take into account these tips for checking your system's security.
If the funds have cleared to your PayPal balance, you may absolutely withdraw them.
I hope this helps!