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to the Chief Justice, Sir John Smale, in accordance with the Colonial Regulations 135, it being His Honour's intention to apply for Pension on retiring after twenty years' service: and I enclose the usual leave certificate for Your Lordship's information.

2. As on former occasions, provision has been made for the due execution of the office of the Chief Justice by the appointment of Mr. Justice Snowden. On the advice of the Executive Council, I have informed Sir John Smale that if within the first two months of the vacation it be necessary to appoint an Acting Puisne Judge, it is my intention to do so; and, as to the second two months, it is understood that half the salary of the Chief Justice will be available for the remuneration of Mr. Snowden, leaving Mr. Snowden's half salary available for an Acting Puisne Judge.

3. In reporting the Chief Justice's retirement, I beg leave to convey to Your Lordship my sense of the very valuable services the Government have received for twenty years from Sir John Smale.

4. During the four years that I have had charge of this Government, I have found it necessary to make some changes in the legislation of Hongkong, in the penal treatment of Criminals and the minor administration.

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