Money borrowing and dishonor of cheque

Hello, I discussed this matter here before (on behalf of a friend of mine), and now I want to know a few things further! The scenario is: My friend started a business in January, 2012. For business reasons, he had to borrow a sum of 64,000 from a guy, who he thought as his mentor! This borrowing occurred privately, and in cash. No legal agreements or papers were signed between them. The only thing is that my friend gave the guy a cheque, mentioning the amount borrowed. Note that the given cheque had no date and payee name! Now the said business didn't go on, and stopped after a few months! My friend lost all the investments, etc. A few days after, the guy he borrowed money from started to threaten, and ask twice the amount actually given. My friend, as a result, issued 'stop cheque payment' instruction to the bank against the cheque given, and the bank successfully STOPPED that. It was done in June, 2012. But, today (26th July, 2014), the guy deposited the cheque in the bank, and made it dishonored!! Now my friend is very tensed about this scenario. Besides, his financial situation is terrible at this moment, and just a few days ago, his dad passed away too. Hence, any advice toward helping my friend getting rid of this likely problem will be highly appreciated. Please, help us in this matter. Regards