Judgment

K. JAGANNATHA SHETTY, JJ.

( 1 ) THE respondent-Bank instituted a suit in the Court of Sub-Judge, Panipat, for recovery of Rs. 81,137. 39 against the appellants herein. The Subordinate Judge decreed the suit allowing contractual rate of interest at 10 1/2 Per Cent per annum from the date of suit till the date of realisation. The appeal against the decree was dismissed by modifying the interest payable as follows:

"that the future interest payable on the mount in suit is reduced to 6 Per Cent per annum from the date of suit till realisation. "

THE High Court in second appeal did not agree with the modification made by the District Judge and it restored the rate of interest allowed by the Sub-Judge.

( 2 ) THE award of interest from the date of suit till the date of payment is regulated by Section 34 of the Civil Procedure Code. Section 34 before the 1977 amendment provided that the court may award interest as it deems reasonable on the principal sum adjudged from the date of suit to the date of the decree and further interest at such rate not exceeding 6 Per Cent as the court deems reasonable from the date of decree to the date of payment. Section 34 was amended by CPC (Amendment