Santhosh and Ranjith have been acquaintances for the last three years. Ranjith received a loan of Rs 14 lakh from Santhosh to renovate his plywood store. Ranjith asserted that he would charge Santhosh 5% interest on the money he borrowed. Ranjith obtained a mortgage for Rs 1 crore and paid Santhosh Rs 23 lakh with interest.