Money cheating - Office Colleague

hi, is me vijay , one of my Friend gave money to his colleague before 2 years sum of 1,00,000 Rs , for interest 4% per Month. his colleague from past 1.5 years he didn't paid interest . now he is refusing to pay interest and capital amount also. and he is saying like what u will do u can do . i wont give the money itseems. my friend transferred from online through NEFT to his acccount last 2 years back and his colleague gave his 2 Blank cheques with his signature for Security purpose . now can you people guide me what he should do to recover his money back. please Hi, i am Vijay, from Bangalore, I gave of SUM Rs 65000 one time (March 2012) and 72383.35(November 2012) on another time . Total - 137383.35 .in that he returned me Rs 30000 and told me to dedcut from the 72383.35 = now the total was 107383.35 in this he gave me interest for the first 65000 till date. and the rest for 42383.35 he told keep this amount separetely i will clear as soon as possible with interest i have more family problems like that he said. now the problem is i have money requirement now i said him to return my capital money and Interest he is total refusing that he will not pay it seems capital and Interest both. for security purpose i have 2 blank cheques with his signatures apart from these whatever i gave money to him i transfered through online NEFT Transactions. so i had the proof of gave money to him.. now can you people guide me what steps should i take against him to recovery my money back. please help me. and he is threatening me. and the interest percentage is 4% per month . now is it possible to recover the capital money and the interest money for these many years with the above rate of interest for interest money or any standard method is there and please guide me the steps what i have to follow.