Your Majesty having granted the city of Cebu authority to despatch a ship to Mexico, it did so; and the ship left Cebu about two years ago, carrying merchandise both for the citizens of that city and of Manila, which was considered best; but, from the time when it left until now, there has been no word of it. It is thought that it was lost, which is no slight matter for this country, coming in addition to the loss of the ship "San Phelipe"--with which, and the retention of their money which the citizens of Manila have suffered, and other hardships, this commonwealth is hard smitten, as is the courage of its people. If there is any way in which to resuscitate it, it will be for your Majesty to give permission for the citizens thereof to despatch a ship of three hundred toneladas to Peru every two or three years, with the products of this country; they will not undertake to carry anything more than flagstones, ivory, and other things which are not carried from España, and this will not cause any loss to the royal customs duties of your Majesty. 33. _That it brings much damage upon this colony that the officers on the voyages are appointed by the viceroy of Mexico_. I have already advised your Majesty of the irreparable injury resulting to this commonwealth from the appointment of the officers of the ships on this voyage by the viceroy of Nueva España; for they come here provided with money on commission, and when they have arrived here they invest it; nor is there any way to prevent them from lading the ships as soon as they have left the port. This they effect by placing their cloth in small vessels six or seven leguas away; and then they take from the ship the cloth belonging to the citizens, and lade their own, from which results great injury to this country. This was done even by Don Antonio Maldonado, son of the licentiate Maldonado, auditor of Mexico, who unloaded on a beach a great deal of cloth belonging to citizens here. This would not happen if the officers were appointed here; because those appointed would give bonds before they left, and, as they must come back and render an account, they would not commit these evil acts. Your Majesty will be pleased to order what is most expedient. 34. _That a sworn statement is being sent of the execution and fulfilment of the decrees_. I am sending your Majesty a sworn statement of the decrees which have been put into execution, besides those which are being carried out; and the same will be sent next year. 35. _That it is customary on feast-days that the city banner should be brought out, and that the royal Audiencia should be present, and the standard-bearer should walk at the left hand of the president; and that this custom was opposed by an auditor_.