rewards.  The expedition to Camboja has gone—­the tone of Morga’s report evidently disapproving this; and an expedition to China has been forced to return.  There has been uneasiness as to the presence of so many Chinese, and many have been sent out of the country.  The lines of Manila have been newly drawn, making it easier of defense.  Financial affairs require complete reform.  The officials of the treasury are under suspension, pending investigation; and the revenue has been wasted for needless salaries and sinecures.  The soldiery devote themselves to trade, losing their military efficiency and interfering with the business of the citizens.  The city of Manila is well provided with funds, and the fiscal arrangements are just.  Internal affairs are in a bad way, because of the facility and youth of Luis Perez Dasmarinas, and the lack of a regularly-appointed governor.  Morga complains of the meddlesomeness of ecclesiastics.  He prays for the reestablishment of the Audiencia; and reports that the country is all pacified, needing now mainly religious.  He praises the plan of educating the sons of the natives at the Jesuit college.  He reports the arrival of vessels from the unsuccessful exploring expedition of Mendana to the islands of the South Pacific.  In conclusion, he prays that, in consideration of his poor health and the death of his children, he may be permitted to return to Spain.

Tello writes to Felipe ii (July 17, 1596) a letter upon his arrival.  He is pleased with Manila, although many public requirements are not attended to.  The Chinese near the city require watching.  The archbishop has remained in Mexico.  Trade has fallen off; and soldiers should be sent yearly to make up for deaths and losses.  He recommends the continuation of the Mindanao pacification at the expense of the heirs of Figueroa.  In a postscript he reports bad news from the Camboja expedition.

The pacification of Mindanao (begun by Figueroa) is continued by Juan de Ronquillo.  He sends a report (May 10, 1597) of the campaign to Governor Tello.  After a fierce contest with the natives, in which neither side gains the victory, a treaty of peace is negotiated.  Great distress ensues for lack of food, among both Spaniards and Indians; and aid from Manila is asked.  Mindanao is a poor country, and will be of very little use to Spain.  Ronquillo urges that supplies of troops, ammunition, and provision be sent from Manila, for the Mindanaos will certainly rebel as soon as tribute is exacted from them; and it is best to complete their conquest promptly.  The missions in this island have been assigned to the Jesuits; but only one priest is now there, and more are needed at once.  The encomenderos to whom Mindanao has been assigned ought to aid in its subjugation, and should be sent at once with troops to the island.  A brief outline of the campaign is added, unsigned and undated.