Note 3 — FINANCIAL AFFAIRS OF THE ISLANDS, 1766

For the “Demonstration” here cited, see VOL. XLVIII, in which it is the final document. In the library of Edward E. Ayer, of Chicago, is a MS. book containing copies of letters by Viana written in 1767; the first of these (dated January 5) is addressed to the Marqués de Esquilace, and mentions the despatch to him and to the king, in the previous year, of copies both of the “Demonstration” and of the present statement of “Financial affairs of the islands.” He also relates how he has been actuated in his official duties by his zeal for the royal service, and has always upheld the rights of the crown; and in consequence he has been the mark for the hatred and enmity of all those who live by plundering the royal treasury, and who desire a fiscal who will allow them to do so without any opposition. The above-mentioned documents have, he says, “raised a furious tempest, the anger of those who fear the loss of their own profits, on which loss depends the rightful increase of his Majesty’s interests, and the saving of iniquitous expenditures.” Of the religious orders in the islands, he says: “They have great power, and much wealth which is acquired through what they unjustly collect from the royal exchequer and the Indians. No one dares to incur the hostility of the religious, for all fear the direful results of their power; and under pretext of a false piety, painted with the bright colors of the true, they have been wont to obtain whatever they have claimed. For this reason they have, ever since the conquest of the islands, burdened the royal exchequer with the increasing and numerous expenses occasioned in behalf of the said religious orders, instead of securing economies for it.” He claims “the glory of being the first one who, by dint of close application, has discovered the ‘philosopher’s stone’ for the enrichment of these islands and the royal exchequer.”

Viana also relates in this letter the enmity of Francisco Salgado against him, because he has, by insisting on the rights of the crown, secured sentences against Salgado in two lawsuits—one denying his claim for 36,000 pesos in the iron-mine contract, and the other compelling him to pay into the royal treasury the sum of 28,000 pesos, due from him as farmer of the wine monopoly—notwithstanding this man’s wealth and his persistent efforts to corrupt the royal officials. “This is a very unusual thing in Manila, where rich persons, like Salgado, know the method of making their iniquitous dealings secure, by dint of presents and bribes, which are frequent. It is by this means that the said Salgado succeeded in gaining the good will of the present governor of these islands [i.e., Raón], by offering him 20,000 pesos in cash (as is well known and notorious) in order that the wine monopoly might be awarded to him at its sale, for the sum of 24,000 pesos in each year. I opposed this, proving by documents that the said monopoly produced more than 54,000 pesos, after deducting all expenses; and that the poverty and the urgent necessities of the royal treasury protested against the sacrifice of the 30,000 pesos of which the exchequer would be deprived every year.” He says that the governor tried to secure the award at that low rate to Salgado; but Viana appealed to the royal Audiencia, in which the case was pending when he wrote, and Raón and Salgado were both afraid of losing the great profits which otherwise they would have gained. He implores the minister “to exert his influence to check the rapidity with which these islands are hastening to their utter ruin.” Further reports and letters by Viana in regard to the Salgado affair are found in this book (Cartas y consultas), at fol. 6–11, 15–23, 30–37; the wine monopoly was finally sold for 40,000 pesos a year, thanks to Viana’s persistent efforts. ↑