ANSWER: This is absolutely prohibited!  He has done a major sin by taking up an interest based loan & on top of that not paying back the loan intentionally is another major sin!! Such a person is a thief and a liar and dealing with riba. 

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ANSWER: Being alone in seclusion with a non mahram man is not permissible.  But if it is not in seclusion and it is in the open air and he is not alone with you, this seems permissible.

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ANSWER: He is treated as Muslim in this life and his affair is with Allah on the day of judgment if Allah would classify him as a kafir or not.

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