Illegal money lending

Hello sir ,i'am santhosh from mysore.i had taken 2 lac rupees for business from a unlicensed money lender for intrest rate 7% monthly.he had taken two blank signed check from me.i was paying him monthly intrest regularly to his bank account but after sometime my business was in crisis and i was not able to pay 7% monthly intrest to to improve my business i requested him to give some help.he said he will give me 1.5 lac and all the money(1.5 lakh) would be used to clear his pending due monthly intrest of around 7% which was pending due from 8 months.and he said i would have to pay 7 % interst for 3.5 lac monthly. i agreed to that to temporarily get rid of the huge due pending 7% monthly . intrest .and i paid 7% intrest for 3.5 lakh for about 4 months. but later after that i was not able to pay such huge intrest rate. now the money lender is asking me to pay RS 10 lac together with sum and intrest.i did not agree for that and told him"you dont have license to do money lending". but he says he will put case in court against me with the blank cheque through his friend who is a licensed money lender and perhaps do check bounce also. i replied to him telling i have the reciept and bank statement as proof which i had sent as 30000 rupees as monthly intrest to him. sir,i'am in a spot of bother. can you please give me a legal advice regarding my situation. thank you, santhosh.