I think that would be for the best. It cuts suicides from the school, and when Kurama and Botan are on the hunt they don't need to be under the guise of 'students' and be restricted by societal norms when they address a friggin' demon. We can work on the encounters later but for now we'll focus on getting through this drowning bit. 

I could have Yoko identify the culprits through spiritual energy he exudes, but by identifying the number of possessed students I think he'd scare them off. They're bold to address Kurama, but they didn't think he had the balls to shift into Yoko. It helps out :D