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held in Hongkong, I have the honour to inform you that in a letter dated the 6th instant the Crown Agents were requested to pay the amount due for the Hongkong Scholarship Examination held in 1888, and to meet all similar charges in future out of Colonial Funds, the Secretary to the Syndicate being at the same time asked to apply to the Syndicate for fees, and to inform Government of the fact that the outstanding amount due drew attention. I at once gave instruction for its payment. The Inspector of Schools would therefore not appear to have been responsible for the delay.

3. I have instructed the Crown Agents for payment of all expenses of this nature incurred on behalf of this Government in the future.

21. On the conclusion of the examination, Dr. Eitel, who had been informed of the receipt of your Lordship's despatch above referred to, caused a letter to be addressed to Mr. Bateman, the Syndicate's local Secretary, enquiring as to the cause of non-payment of the fees for the examination.

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