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You don't say which state's laws this involves. Did your state enact a version of the uniform Residential Landlord Tenant Act? Start doing your internet research.

Find a landlord/tenant atty in your area. Legal aid offices are often good referral sources since poor people so often get stuck dealing with slumlords. Start doing your calls for referrals.

If your laws are like this state's, there's a good chance you could counterclaim for your loss of security and maybe some other odds and ends but ALSO for your attorney fees. And if this clown makes you go to trial and you win, those fees would be a chunk of change. You should be able to collect if you win, or garnish other tenants if the landlord refuses to pay.

Don't broadcast to the landlord that you have your cancelled check from paying your security deposit. You want to wait until he says under oath that you never paid one. Then you produce your proof, and then his credibility is zero. Let this idiot trap himself.

If you get an atty that actually knows this stuff, the landlord could be toasted, especially if the landlord is representing himself. Sounds a lot like a breach of habitability. Further, if there were other additional substantial problems with your unit, for weeks or months, you may even be in line to get a partial rent refund.