N.A. Britto, J.––This appeal was admitted on the following substantial question of law :––

"Whether under Section 34 of the CPC it is permissible for the appellate Court to grant interest at the rate of 12% to the respondent from the date of receipt of land acquisition compensation by the appellant (i.e. 17.11.1986) till the date of realization."

2. Some facts need be stated to answer the said question. The appellants herein were the defendants in R.C.S. No. 101/89. The plaintiffs in the said suit had claimed that they had purchased two properties namely "Varzea Pasqualem" having survey No. 5/15 and "Pasqualem" having survey No. 335/2 both of Verna village. A portion of the said properties was subsequently acquired by the Government, but the LAO paid to the defendants the compensation payable thereon on 19.6.1986 in the sum of Rs. 18,523.60. The plaintiffs claimed that they approached the defendants, after they came to know about the said acquisition and the receipt of compensation by them, and though the defendants initially promised to pay, subsequently declined to pay the same and both the plaintiffs sent a notice to the defendants which was received by them on 8.6.1988 an