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prepare readers of which the most suitable would be selected for use in the Government and Grant Schools.

6.

Mr. Chamberlain's Despatch No. 343 of the 11th September, 1903, called for a future report on the effect of the restoration of the Chinese Classes and of the system of promotion pari passu in the Chinese and English Classes.

7023 The present report shows that so far the restoration of the Chinese Classes has been a success. It has certainly not diminished the desire of boys to enter the College; a greater number pass the test than can, with the available accommodation, be received.

The arrangements for making promotions pari passu in Chinese and English Classes were set out in the Rules which formed an enclosure in Mr. May's Despatch No. 37 of the 28th January last. The system will not begin to operate till February next. Its working will be fully tested so far as it will be then introduced at the next annual examination by the independent examiners and I shall not fail to inform you fully on the subject in due course.

7.

To the statement of the Examiners that boys are admitted to the Upper School who are quite unfit for such high standing the Head Master has replied as follows:-

"In reply to this, I can only repeat, that no boy, who has failed at the Annual Examination, is or has been promoted into, or in, the Upper School. If the Governing Body will take the responsibility of instructing the Head Master to dismiss boys, who are dull or idle, the evil complained of by the Examiners will cease. I cannot recommend

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