GST ITC claimed and issuer found non existing

I have purchased material from Delhi in August 2022. Material came from delhi on eway bill and further trade to Agra.

Now ITC has been blocked by Deputy commissioner and said that issuer firm found non existing so we are not liable to take ITC.

Please suggest what should I do?

Do I need to pay ITC amount through DRC-03 and Is there any other consequences for this?