In the provincial chapter of the Augustinians held on the first of May I was present, at their instance; for they were divided into two parties by their usual passion.  They were presided over by the most serious friar of their order, but the bold acts of the youthful friars at every juncture violated the rules of obedience, which they certainly are subverting.  I proceeded with the utmost moderation, sometimes denying the aid which was asked from me, and restraining them by threats that I would appoint secular ecclesiastics to the missions.  They were finally quieted by this, for otherwise the province would have been divided, as they threatened.  Not a little blame is due to the fiscal, who attempted by means of his negotiations to make himself master even of these elections.

I have received advices from Macan by six galleotas, which have arrived with goods; they are demanding that a check be given to the progress that the enemy are making in their fort on the island of Hermosa. [18] They say that it is finished, and made of stone, sand-banks, and brick, having six bastions and at the edge of the water a platform with six cannon.  The bay is eight leguas around, and an anchoring-place is on the north side.  The fresh water is below a redoubt two leguas from the fort.  The bar is thirteen feet under water with reefs, so the large ships remain outside.  There is much to be gained in all kinds of trade with the natives, in purchases of deer-hides and merchandise for Japon.  This port is in twenty-two degrees.  Their object in fortifying it now was that this place commanded the passage of the ships from Chincheo to this city.  They have accomplished their end through the presents which they have given to the mandarins, and the threats to rob them, as hitherto—­namely, to secure the silks and carry them to Japon and Holland, as they are now doing, and take them away from this country, in this way ruining it, for there is nothing of importance except this commerce.  This loss is clearly shown, for in fifty ships which have arrived at these islands, there were not forty picos of silk brought, while the enemy had nine hundred, excluding the woven goods; and, if it were not for what has come from Macan, the ships [for Nueva Espana] would have nothing to carry.

This trade of the Portuguese is most injurious, not only on account of their unfriendly attitude, but because they have raised the prices of goods, securing the profit thereon, and draining the wealth of the citizens here.  Considering this, then, and what your Majesty has ordered regarding the pacification of the Hermosa Islands (which my predecessor so desired), after I had used all possible diligence, as in a matter of so great importance, and found that the security and rehabilitation of these islands depended upon having a port to windward from that of the enemy—­as this city besought me to do, since that was its only refuge—­I made ready in all secrecy, and at so little expense that, although I found the treasury