Directions: Given below is a statement of principle, followed by a factual situation. Apply the principle to the facts and select the most appropriate answer among three alternatives given. Encircle your choice and explain why you think your answer is correct in not more than 3 to 4 lines. If it exceeds 4 lines, then penalty may be imposed.

Principle: An act done by a child between 7 and 12 years of age is not an offence, if he/she is not mature enough to understand the nature and consequences of the act. Fact: A child of 9 years, finds a gold chain in the house of his uncle and gives it to his brother B, aged 5 years asking him not to tell it to anyone. The uncle reported it to the police station and police conucted a search. During the search, the gold coin falls from the pocket of B and when the police asks B, he says that it was given to him by his brother A.