Cheating by Indian National based in Bahrain

I am a Recruiting Agent mainly recruiting Indian Applicants to the Middle East on Work or Employment VISA basis However in a recent activity we received a requirement from an Bahrain based Indian National requiring 40 workers to work for his company for which has been corresponding with us promising to give us Employment VISAS in return for the candidates applied We immediately shortlisted 30 applicants and received Job Offer Letters from this company in Bahrain and on their instruction we asked the applicants to do medical tests costing INR 5000 each minimum Now its a month and even after this gentleman has promised to give us the VISAS in return for the medicals submitted, Nothing has transpired and all deadlines have been lapsed We are faced with a situation to return back to the applicants what they have incurred in process of Medical Expenses of INR 5000 as well as any other claims they may have Hence I wish to seek advice what to do in this scenario as its not our fault at all and at all times this Indian Man has kept promising to give us the VISAS but not a single VISA has not even been applied for yet let alone issued Kindly help and advise Mr Faisal Shaikh