What are the consequences of signing on a blank Rs1000 Non-Judicial Stamp paper?
What worst could happen?
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The exact type of paper doesn't matter a huge deal here, but never ever sign a blank piece of paper.
A signed blank piece of paper can be used to fabricate any sort of contract. It could be used to 'resign' from your position of employment. It could be used to fake a murder confession. It could be used as a sort of identity fraud.
There is nothing good that can come of signing this blank piece of paper and an almost endless list of bad things that could happen. Who ever is asking you to do this likely has malicious intent and should not be trusted.