transfer of property act

'A' purchased an agriculture piece of land in the state of uttarakhand from 'B' in the year 2012 'A' paid the full and final consideration to 'B' by cheques. 'A could not get the sale deed registered in his favour as the state law of uttarakhand does not permit non domicle people to purchase land until the person obtains a NOC/permission from the concerned District Magistrate. 'A' entrusted upon 'C' who was known to 'A' and is a domicile of uttarakhand and got the sale deed registered in his favour (april 2012) and seperately signed an agreement with him(july 2012) that as and when 'A' obtains permission from the DM, 'C' will execute sale deed in favour of 'A'. The agreement mentions that 'C' has handed over the physical possession of the property to 'A'. ('A' is in physical possession till date) In the year 2014 'C' gave an affidavit to the DM that he has a agreement in place and that the permission may be granted to 'A'. The DM granted permission to 'A' in the month of dec 2014. The negative side is that the the agreement between "A' and 'C' is a bit contradictory to the actual facts. Gist of the agreement signed on a RS 100 stamp paper along with 2 witnesses. That 'C' has sold the land to 'A' for an x consideration. And that 'C' has handed over the physical possession to 'A'. And that as and when 'A' gets the permission from the DM, 'C' will transfer the property in favour of 'A'. One important point. The sale deed which has been executed in favour of 'C' clearly mentions all the cheque payments given by me to 'B' 'C is now blackmailing 'A' and asking for a very large amount.