We can see the image in fast forward or rewind but and no audio

here's the manual of this recorder. You can take a look at it to see if there are any explanations regarding the error:
http://ec1.images-amazon.com/media/i3d/01/A/man-migrate/MANUAL000033419.pdf

Is it the Viewfinder or LCD that does not display an image?
Try hooking the camera to a TV to confirm.

your protection switch is jammed to the on position its a ver small slide arm insert tapes take them out and give the camera a little knock try to spring it back into off mode

Heads need cleaning, possible tension adjustment.

Just bought the exact one from a yard sale for 20 bucks. Had the very same problem with the blue screen on playback. What i did is replace the battery in the small bay when you open the viewfinder. Try playing your tape again and it will work!

...try to use the cleaning tape...and try to fast forward and reverse the cassette with rewinder machine...not with the camcorder...

Video head is dirty / clogged. Use good quality Mini DV Head Cleaning cassette.

I am having the same problem. When I hit Rewind or Fast Foward, i can see the image moving clearly.
When I hit play though, I just get a BLUE screen with the Play arrow displayed. So it's playing, I just got a blue screen. And last night, I got the blue screen but I could hear the audio. 
Then I put a head cleaning tape in the camera, and I did get the picture back on for a little bit.
Skip to this morning, and we are back to the Blue screen again. Only this time, I am getting no audio. And I the head cleaning tape back in but it's not helping anymore. 

a sony cleaning cassette may clear the gunk from your friend ' s possibly ? bad tapes ( do not rewind it - or the gunk will be redeposited ) ; if still no video , get an estimate to have your heads and guides cleaned . . . professionally ;

sir , the lcd flap of the camera has been spoilr\ed due to this the image is not coming on lcd , only u have to take the image through view fider , lcd fpc has to be changed / repaire u can contact me also [email protected]