My bank account got blocked after a p2p merchant filed a complaint against me.

I'm from India and a few days in the past I did a small P2P transaction on binance and I acquired the amount from the vendor afterwards I launched the funds and the transaction was completed. After a number of days I obtained a message from my bank that my account was blocked and I contacted them. I found that the vendor lodged a police grievance towards me for fraud. How do I'm going about fixing this example.

The financial institution requested me to contact the seller or police by way of e mail. I obviously know that the seller will only blackmail me.