no sufficient reform can be instituted for this evil, as I see that there is no remedy in other things of like nature, either in the armed ships or the trading vessels from those kingdoms.  There, however, is less damage; for this is all in money which goes to infidels and never returns, and thus militates against this country, and that [Espana], and greatly weakens the commerce of both.  I recently made arrangements with Don Pedro de Acuna (as I wrote to your Majesty on another occasion) for making a personal inspection at Acapulco; it was decided that I should reject the money, and, because there have never been confiscations that cause fear, that some part of each one’s share should be actually applied to the treasury, and that the same should be done in Manila.  Since letters received from there state that goods are very dear because of the great quantities of money that go there, it must be that this inspection was not promptly made; and I fear that there is too much laxity there.  For it would appear that those islands should grow rich with the increase of money, and that if they buy at high prices they must sell the goods here at high prices; and on this account regard and favor for that land must not give the governor and Audiencia opportunity to take severe measures toward this region.  I intend to use rigor at the coming of the ships this year; for this is demanded by the prevalent excesses and our actual experience of the difficulties that result therefrom.

[Endorsed :  “Copies of parts of letters from the Conde de Monterey, [10] written to his Majesty, May 15, 1602.”]

Points in the Petition from the Filipinas Islands in Regard to Their Commerce

First point

That the commanders, captains, and officers of the vessels plying on the line, be inhabitants of the said islands, and not of Nueva Espana, so that the losses, frauds, and injuries that they cause in loading their goods, and in the transportation by the ships of enormous sums of pesos in consignment and trust, may cease.  This would save for his Majesty’s treasury the salaries paid the officers of the vessels, and would benefit the islands.  The citizens of the islands would receive such posts, when it should pertain to them, as a reward for their services, as the governors have been ordered to grant them to meritorious men.

The bishops of Paraguay and Nueva Segovia declare in information given on this matter, at the order of the Council, that for its remedy and the aid of the islands, it would be very advisable to establish a consulate in Manila; and that the [royal] ships, together with the vessels of the merchants, should go on its account.  His Majesty should be given the hulls of the ships, and the masters and officials appointed in the said islands, to whom money from Mexico should not be committed, nor should it be given them in trust.  The expense caused to his Majesty by them would thus be saved.