Legal Help

Dear Sir, My nephew is an engineering student, living in a hostel in UP. Around one year earlier, one of his classmate borrowed his SBI ATM Card asking that his ATM Card is not working and he has to get some money from his Parents and seek his permission to use his account and card for this case. Few days latter he returned the card. After one year, (in Feb 2015), Police came to my residence in Sikkim and asked about my nephew saying that one FIR is lodged in Gujarat, against my nephew claiming that Rs 25000 was deposited in his account after someone asked complainer to deposit this amount to get a lottery of huge amount. As per Police, the FIR is lodged under IPC Section 406,420,120-B, IT Act 2000 Clause -66A (C) and 66-B. When we checked the Bank statement, we found that 2 Unknown Transactions are in Jan 2014, one of Rs.15000 and another of Rs.10000. Both the amounts were deposited and withdrawn on same date. Now some more students of this hostel revealed that the same boy had borrowed their cards. Few of them is ready to reveal this fact before Police also. Now We whole Family are living under huge tension and my nephew is also very tensed and nervous. Police has asked us to present my nephew at Police station in Gujarat where FIR Is lodged. Please suggest us the remedial legal action we should adopt.