5. Advantages and difficulties in the execution of this decree, and the ruinous outcome which may be feared from it.

As the execution of this decree, although so old, is a good method to attain what his Majesty intends and what the monarchy needs, that but little money of merchants be sent to these islands, I am giving without any opposition to the citizens of this city what is ordered by the decree, as will be seen by the acts that have been passed in this regard which I am sending to that royal Council, in order that it may understand the matter better, and that it may take the measures which seem most advisable.  The truth is, that I fear lest a violent clash result from this innovation, between this city and that of Mexico; for the citizens of the latter place, when they find themselves deprived of the gains which they had by acting as agents for those of Filipinas, will render poor service as such to the latter; and further, knowing that the citizens here are combining against them, that will oblige them also to combine [against these citizens], in order not to make the returns this year with any silver.  That would be the total ruin of this colony, because of the small investments and business affairs of these last years. [In the margin:  “Take it to the fiscal with the acts.”  “They were taken to him.  Response on a separate paper.”]

6.  That all that has been done in this matter has been with the approval and assent of the Audiencia, and against my own.

I never took my pen to sign an act in this matter (upon which all the Audiencia was unanimous), for they seemed to me the most serious acts that could arise pro and con in this community.  All that I have executed has been against my own opinion.  What I would gladly have done would be to have four or six alert men to take charge of the goods of private persons, and have each one administer it as best he could, without at present trying to oppose the citizens of Mexico and to deprive them at one stroke of the agencies, and that would be accomplished gradually.  Besides, times becoming better by buying here cheap, the profits would be greater; and it would be a good expedient not to send too great a consignment of goods to Nueva Espana.  That would be, and this city would have, some relief without so much offense to the City of Mexico, which is of no less importance to the monarchy than this city. [In the margin:  “Take it to the fiscal.”  “It was referred to him.  Response in a separate paper.”]

7. How injurious it is to take loans from the inhabitants of this city