Row House Chawl Dimolished

Hello Experts, Need expert help or advice... I booked a room in Row House Chawl (Mumbai Titwala), low budget house under grampanchayat in Nov-2012. Builder committed he will give position in 6 Months. He showed us all the documents (7/12 Extract, Construction Certification of the builder, Agreement between Grampanchayat and Builder etc) Hence we booked the Room and also took one Rental room on own cost and got shifted with the mindset that we will get the room in 6 Months and by that time schools will also start and admissions were going on. We didn't wanted to waste the child future. My bad luck He took an year to start the construction coz bookings were not in swing and by Mar-2015 room was almost ready but all of sudden the Local Municipal broke entire construction. Builder saying that some other builder from that land location had fight with the officer due to which they broke the construction. Some multiple other builders construction were also been broken in same line. I had paid almost 3.7 lakhs After all this we asked him to give back the money with the Rents we are paying since 3 years after initial 6 months of booking which was committed by builder. Builder saying he had a big loss too so now he is not in position to give. it will take some time. I told builder that i will complaint to local police but he dont care, he says i am ready to come coz they know me, some share is given to them as well. Instead of giving you 4 lakh, i will give 1 lakh to police and close the matter internally. Now a days he is not picking the calls also. 3 Years were hell and torcher for us. I am not sure what to do and how to get the money. I don't have owned house yet, this house was my dream. I am stucked in titwala now that too paying rents from my pocket. I had taken personal loan which i am still paying the EMI's I checked with some of local builders for help but they saying dont complaint your money will never come. Builder Name :- Sairaj Construction builders and Developers. Documents i have from Builder transactions. 1> Builders add in news paper 2> Sample flat video in mobile which was shown to us 3> Memorandum of understanding about property booking on 100 Rs Notary paper 3> I made all the payments by Cheque 4> Builder had given the payment slips. Please guide or help Haresh W