money lending

madam/sir i am a government servant in central government and i have been accused u/s 420 ipc by a lady who is a retired ips officer. the case is about that i was in need of money and financial support wanted to take loan from bank so i was searching a person who could help in this so i came across this lady ips officer who told me that she has many contacts with bank associates and she is a member of financial institue where she may help me to get loan for 4% p.a. so she i asked me to invest money in her policy and by morgaging the policy she will provide loan . and for such i was ready to take a policy of rs 45000/ rs and for such i gave her blank cheque as she had asked me to give with along some documents . so i gave her 4 cheque as she had asked 1 cheque of rs 45000/- in the name of the institute and other three cheques were blank which she said they would those cheque for rs 5000/ after every 6 months for policy premium . but in due period i changed my mind not to invest for now so i had called her up and said to cancell the deal and return my documents all this happend in the year april 2013 . but the documents were not returned to me back and i also never asked for such again as i had closed my account of which cheque were returned but before closing i had sent her a letter of knowing account closed . but in the due course she without informing me put one of my cheque of rs 45000/- for clearing which bounced saying acccount closed on december 28/2013 . after that i was called up by police feb-march 2014 as she had filled a case against me for not returning money borrowed from her by me and giving false cheque of account closed . now she being a retired ips officer the police have booked me u/s 420 ipc . now what can i do in such matter . the police have register fir on december 22 / 2014 . but in this case she never gave me notice saying to return money in 15 days from her lawyer . then she has not provided any evidence of money given to me by means of cheque. and one more thing she has also involved her staff members against me that they have also given me money but i have not returned . and therefore the police has registerd a case against me u/s 420 ipc of doing fraud of rs 1,20,000/- rs . but there is not not one single evidence of money given to me only one cheque of 45,000/- plz help what can i do in this matter