money was transfer in to account for issueing on tickets

money was transfer in to account for issueing on tickets . but money got utilised else where. party send legal noticeto which we did nt responed because our bussiness got shut down due to sever financial crises we are still out off work.party had transfered through neft from hyderbad to mumbai account.we had been in touch with party and paid partial amount.this happened in feb 2014 in this between period i had to sell my flat due to financial crises due to my perviouse medical expenditure of hospital treatment which i had borrowed on heavy interest .as if now i am still interested paying him but he his threatening to legal action on my wife because he had tranfer in my wife account. he his saying he will come to mumbai and claim 420 on us i have small baby which was born in 5 and halfmonth premature she need mother and i am clear i need to pay him but i cant pay him in one short i need time please advice me weather it his bailable and how my intension our clear to pay him but time is not in my favourable in my financial condition today i am at rental house not even capable off paying my rent on time