of the converts should be cut off; accordingly the king orders that
a conference of religious and learned persons be held, who shall
take suitable action in regard to this and other matters concerning
the conversion of the Chinese. Vera complains of the arrogance,
obstinacy, and high temper of the bishop, and asks that the king
restrain him. There is no physician in Manila, and one is urgently
needed in the royal hospital. This document is followed by the notarial
record of proceedings in the trial of various Indians for conspiracy,
which is mentioned in Vera's letter. The punishments inflicted upon
them are specified: in each case, appeal was made to the Audiencia,
which in some cases modified the penalty, but otherwise affirmed the
former decision.

Gaspar de Ayala, royal fiscal in the islands, makes his report to
the king (July 15). He advises that ships for the royal service be
built in the islands; also that the gold used as currency there be
exchanged in Nueva España for Spanish coin--both of which measures
will be of profit to the royal treasury. He renders account of the
recent sale of offices in the islands, and gives advice regarding
this method of aiding the royal exchequer. Certain encomiendas
becoming vacant, Ayala, as fiscal, undertakes to secure them for
the crown; in this he has difficulties with the governor, who also
is trying to make trouble for Ayala with the soldiers. The latter
asks to be relieved from his post in the Philippines, and sent to
some other. The Chinese trade is meager this year, owing to war and
pestilence in China; and there are rumors that it is being diverted
to Peru or Nueva España. If this be true, the Philippine colony will
be ruined. A second plot against the Spaniards has been revealed,
this time in Cebú; but the leaders have been captured. The Indians
of Cagayán have also revolted, and troops have been sent against