This sounds like the kind of case that the Lurkers would probably help with, but you might email
[email protected] with your complaint. Unfortunately I have found the chat people to be woefully uninformed about anything other than basic tasks like making or changing reservations.
I would complain about the manager-on-duty's apparently self-contradictory response, request that the night be returned, and request a small gesture of goodwill for your downgrade from the confirmed suite reservation. Others will cry foul at your request for compensation, but I think you're being totally reasonable.