That doesn't sound right. I used PQ.Hosting once when I needed a quick temporary VPS, just like many other legitimate users. Yes they never asked much, but they also used to ban users left and right even for torrenting, so it wasn't bulletproof in any meaningful sense. I'm sure they were into shady stuff though, since their IP quality used to be absolute crap, but they did provide legitimate services as well.
I'm sorry this happened to you.
Providing a website is hardly evidence they were a legitimate business.
legitimate business? Of course they weren't. This is a bulletproof hoster specializing in offering hosting to people doing illegal stuff.
That's not OPs claim.
You can go on the website and rent a server for a couple of dollars in cryptocurrency right now, you don't have to work for the Russian government to do so.