his better judgment, certain prisoners to the Inquisition, in obedience to a royal decree. A letter from the Audiencia of the Philippines to the king (dated June 26), recommends an increase in the rate of tribute paid by the Indians; the money thus obtained could be used to pay the soldiers, which would greatly improve the standard of military service in the islands. The colonial treasury is greatly embarrassed by heavy expenses, and the salaries of the Audiencia would better be paid from Mexico; then the encomiendas of Indians now taxed for that expense could be assigned to the soldiers who have so long been serving in the Philippines without pay. The king is asked to make an annual appropriation for the military and marine expenses of the islands. Father Sánchez is recommended by the Audiencia also, as their envoy to the home government. Their dissensions are now all settled, and some matters which caused these disagreements are referred to the king for his decision. They notify him of certain changes which they have made in the customs tariff of the islands, especially on the Chinese trade; it appears therefrom that the economic dependence of the Philippines on China is very close, especially in the matter of supplying food and cattle. Certain extension of authority which had been granted to the bishop is asked by the Audiencia for him. The participation of the Spaniards in the rich Chinese trade has aroused the jealousy of the Portuguese in India, who are endeavoring to shut out the Castilians from that country; the king is asked to take such measures as he deems best in this matter. Complaint is made that a certain Mexican officer has gone, in disobedience to his orders, to China, apparently to trade.
