[Resolved]  Citibank Credit Card — fleecing money from customer

I have been a citi bank credit card customer since last 8 years, and never failed to make any payment. Citibank provided me a complementary Diners Club Card along with the main credit card. During July 2008 when I was visiting USA, I used Diners club to spend Rs.65000/-. After returning to India, I again came to UK on one year research assignment. Throughout, I kept on paying the minimum dues, except that I did not pay Diners Club due for 2-3 months. After coming to UK, I kept on paying to both the cards, and cleared the Diners club dues totally.
My repeated effort with customer service to help me pay dues from UK did not bring any result. At last, I arranged to send cheques through my Indian friends. There was not more than one month gap in payments though. However, Citibank closed both of my cards without any information. I had a personal loan of 1 lakh, to be repaid over 4 years period, of which I completed 3 years payment period. Now, they have prepared bills with tota; outstanding on my card+total remaining EMIs for the rest of one yr period of loan, and wants entire payment immediately.
After completion of each month, they are charging interest @42% (yearly), compounded every month, and the due because of loan included. Repeated request to correct the billing and opening the card so that amount could be paid in monthly installments did not bring any result. Though the interest was actually added for four year period while calculating loan EMI, not only they are asking me to pay the entire amount one year in advance, but also charging addition interest @42%, compounded monthly over the entire due!
Complaint, pleading, discussion to all existing Citibank system did not bring forth any result. Is going to court the only option left? Or still there is some way to settle the matter amicably.