No.513.

Sir,

310

GOVERNMENT HOUSE,

HONG KONG.

18th November, 1932.

With reference to the final paragraph of Lord Passfield's despatch No.130 of the 30th April, 1931, on the subject of the teaching of the Chinese language and literature in the University and Schools of Hong Kong, I have the honour to inform you that the report of the Special Committee appointed to advise on the teaching of Chinese, copies of which were for- warded to the Under Secretary of State with the Colonial Secretary's third personal note of 26th July, 1932, has now been fully considered by the Government and by the University authorities. I enclose copies of memoranda prepared by the Registrar of the University and by the Director of Education indicating the action already taken to implement the recommenda- tions of the Special Committee.

2. The special grant of $25,000 in aid of the School of Chinese which appears as item 32 under Head 31 of the Estimates for 1932 has been omitted from the 1933 Estimates, and the new Department of the University will be financed partly from the in- terest on funds subscribed by the Chinese community and partly by a special allotment from the income derived from the grant to the University from the Boxer Indemnity Funds.

I have the honour to be,

Sir,

Your most obedient, humble servant,

W. Peel,

Governor, &c.

The Right Honourable

Sir P. Cunliffe-Lister, G.B.E, M.C., M.P.,

&c., &c., &c.

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