militia, to assist the permanent army in the execution of the new military views which presented themselves, and which, since the last ordinary sitting of the Cortes, increased so considerably in consequence of the progress of the insurrection and the events of the last days of June and the first of July last, that an increase of force was found necessary to make up for the deficiency caused by the insurrection in the corps of the infantry and cavalry of the royal guard, and some troops of the active militia.

Under these circumstances, the Government did not hesitate to have recourse to the employment of the whole of the active militia, even previous to receiving the sanction of the Cortes, both because the safety of the country demanded it, and because the authority granted by the Cortes to the late Minister for the employment of a part of the force, did actually, in a certain manner, authorise the employment of the whole, in case circumstances should require it.

ART. XVI.-Organization of the Army of Operations, and the appointment of Military Chiefs of districts and provinces. In order that these forces might receive a proper direction, the Government thought proper to organize them into armies of operations, and determined this organization with a view to the class of war to which those forces were previously destined. To the CommandantsGeneral of the fifth and sixth districts was confided the command and direction of the troops of their respective districts; and with regard to the seventh district, in consideration of its importance, and the character of the insurrection of its provinces, as well as the difficulty of its communications and the complexity of its coasts and frontiers, it was determi

ned to appoint a General in Chief of the army of operations in addition to the Commandant-General of the same district. The appointment for this employment fell upon an officer eminently qualified for the situation; for, besides being a decided advocate of the constitutional system, and having suffered persecutions for the liberty of his country, he signalized himself in a distinguished manner during the last war, and possesses a thorough knowledge of mountain warfare, which is the duty in which the troops under his command will be engaged.

In connexion with these Generals have been established the corresponding staffs, for facilitating the direction of the military operations; and notwithstanding that the principal staff decreed by the organic law of the army was not yet formed, nor were there the means of forming it, his Majesty's Government supplied its deficiency by a provisional one composed of deserving officers, all devoted to the defence of the just cause, and many of them versed in the precious lessons of the late war.

On the other hand, military chiefs on whom the Government may rely have been placed at the head of the districts and provinces. It is not to be inferred from this, that those who previously filled those situations did not inspire confidence, but in consequence of the ill health of some, and the desire of others to be exonerated, from private and personal motives, the Government thought proper to appoint others in their stead. There are now placed at the head of all the districts and provinces, officers of decided patriotism, who, by their physical disposition, and the opinions they profess, are qualified successfully to discharge their duties. Besides these provisions, it has been thought proper to take advantage of

the power granted by the Cortes for extraordinary occasions; that is, to declare in a state of war those military districts in which such a mea ture was absolutely necessary. The Government has applied this mea. sure to the fifth and seventh districts, in which the insurrection has mani fested itself in a scandalous manner; and though there would be a sufficient excuse for subjecting the sixth and eighth also to this severe law, it has been thought advisable to suspend for the present that declaration, on the ground that the insurrection has not yet extended so far in these as in the former. Doubtless, it may soon be necessary to have recourse to this rigorous measure; and in that case the Government will not fail to apply to it.

CHAPTER V.-General idea of the measures which the War Ministry considers necessary and urgent, and which will be successively submitted to the Cortes in particular estimates.

From what has been already stated in this exposition, the Congress must be convinced that his Majesty's Government has not at its disposal, either sufficient forces or the pecuniary means necessary for meeting the demands of the public ser. vice. What, then, would be the situation of the country, if the difficulties were to increase, while the insurrection, instead of being extinguished, is spreading; and while Bome foreign powers may wish, or consider themselves bound to interfere in our internal affairs? The facility with which the insurrection has risen, from perfect insignificance to a state calculated to create alarm, and the suspicions which must be entertained of the intentions, not only of our neighbour, France, but of all that confederation of potentates known under the name of the Holy Alliance, renders it necessary for his Majesty's

Government to demand of the Cortes sufficient means for producing a state of activity, capable of defeating the plans of our enemies. These means, the necessity for which is imperious, resolve themselves into four classes, viz. the recruiting of the army; the recruiting of the active militia; the prompt organization of new batta lions of the militia; and pecuniary supplies.

ART. XVII.-The recruiting of the Army. It has been already shown, that the standing army amounts only to about 52,000 men, including the household troops which mutinied in July last. It may be reckoned that the deficiencies which have occurred since the accounts were made up will amount to 2500 men. On this supposition, 10,000 men will be wanted to complete the 62,403 granted for the army by the decree of the Cortes of the 8th of June last. But, from what has before been stated, this force would be insufficient. His Majesty's Government is therefore persuaded that the army ought to be placed on a footing between a peace and a war establishment. Under this view the Cortes are formally called upon to grant a levy of 29,973 men over and above those granted by the decree of June last, and a remount of 7983 cavalry.

ART. XVIII-The recruiting of the active Militia.-When the Cortes, on the 18th of November last, passed the organic decree for the national militia, it was not to be expected that the country would so soon want the active services of that corps. The idea on which its formation was founded was that of being as little burdensome as possible to the people; and it was intended so to consolidate this valuable institution that the soldiers who compose it should serve the country on necessary occasions, and in time of peace return

gradually, and as it were insensibly, into the bosom of their families. But the present difficulties have not permitted the philanthropic views of the Legislature to be carried into effect. Succours are earnestly demanded, and the Government is under the painful necessity of soliciting of the Cortes an alteration in articles 6. and 9. of the said organic decree. Were not this to be done, it might happen that the present battalions of the militia would be greatly reduced before the second of the six appointed drawings could take place. In a particular proposition, accompanied by the opinion of the Council of State, the Minister will, by his Majesty's order, solicit from the Cortes the necessary measures for this object.

ART. XIX. Of the supply required for the service of the War Department. It would be idle to seek to prove that an increase of military force requires an additional supply of pecuniary means. But it is necessary to remind the Cortes that the supply must not be merely what that increase would require, but must be sufficient to meet the pressing wants of the war department. Explanations have already been given on the deficiency of clothing, equipments, and mountings for the army; on the exhausted state of the auxiliary magazines; and on the lamentable decay of our for tresses. It has been shown that the army is alone supported by its own valour, decision, patriotism, and firm adhesion to the constitutional system, but that it is destitute of those aids and supplies which are indispensable to its proper maintenance. The removal of those wants is therefore most urgent. It is important that the troops should not be made to sustain privations which may at last weaken their enthusiasm. It is above all things necessary to enable them to make war in such a manner, that by

shortening the duration of its evils, its effects may be less injuriously felt. You must therefore be convinced, that it will be proper to supply the department under my charge with means sufficient to accomplish such important objects; and his Majesty's Government, firmly resolved to put down all the efforts of the evil disposed, will demand from the Cortes, through the Minister of Finance, those supplies which may be considered necessary to render effectual the triumph of the national armies, and the noble cause which they defend.

ART. XX.Various military regulations.-Finally, that nothing may be left undone in the important task of securing the tranquillity of the state, and the advancement of our sacred institutions, there will be proposed to the Congress, such changes in the military organization, as may be considered requisite under the present circumstances.

The organical law for the standing army, and the decree for the national active militia, were framed under the supposition that public tranquil. lity was not likely to be at any time disturbed; and that the country was far from being about to experience the insurrection of any part of its inhabitants. To carry into effect the provisions of these laws, more time was requisite than the extraordinary exigencies of the present times afford, especially when many of the measures necessarily connected with the transition from one system to another were not yet carried into effect. Is it extraordinary, then, that it should now be found indispensable to alter or suspend some of the articles of these laws, or to supply their deficiencies by new provisions?

His Majesty's Government, desirous that the national troops should obtain the regulations best calcula

ted to secure the successful issue of its services, has made suitable arrangements with the inspectors for their proposing what may seem proper towards the attainment of this object. The inspectors, being particularly charged with the organization of the forces, are the persons most capable of judging of the good or bad effects of the mode of organization which has been decreed. They are well able to inform the Government of the advantages or the defects of all measures connected with the troops under their care. Their observations will be transmitted to the Government, which will submit those observations, with its opinion thereon, to the Cortes, in order that the Congress may sanction those measures which it is not competent for the executive power to adopt.

Possessed of these data, the wisdom and patriotism of the Cortes will doubtless discover the means of securing the liberty of our country, to which great object will always be devoted his Majesty's Government, the valiant Spanish army, and both the militias, which have already acquired so much glory in the defence of our sacred rights.

MIGUEL LOPEZ BANOS.

Madrid, Oct. 1.

REPORT ON SPANISH FINANCE, READ TO THE EXTRAORDINARY CORTES, IN THEIR SITTING or THE 8TH OCTOBER 1822, BY THE MINISTER OF FINANCE.

Urged by the duty imposed on me by the function which I exercise, I am about to communicate with the Cortes on one of the most important points on which it has to deliberate, and which has been one of the chief inducements to its extraordinary con

vocation.

The finances, which are the soul of states, and without which every branch of the administration would be paralysed and destroyed, are about to be presented to the consideration of the august congress under their true point of view. The Cortes will be made acquainted with their present state, will discover the extent of the resources which the Government possesses, together with that of the debts which it has to discharge, and, without the inconveni. ence of correcting the vices and defects which may be remarked, will employ itself in facilitating those plans which may be necessary, in order successfully to meet the pu blic necessities, and to relieve the nation from the factious bands which infest its frontier provinces. I will briefly explain to the Cortes the state which the public finances presented at the close of the session of its first ordinary legislature, or the end of the second economical year; the dispositions of the Government with respect to the same branch in the third year; and, finally, the precise increase of taxes for discharging the expenses of the public service up to the end of June 1823, as well as the means by which, in my opinion, this increase, in addition to the estimates voted by the Cortes, may be met. I must claim the indulgence of the Cortes in giving me a patient hearing, and supplying by its wisdom the deficiencies of my mode of explanation, and beg that it will direct its attention solely to the frankness and precision with which I will attempt to exhibit to them the former and the present state of the public finances.

It would be useless for me to present even a sketch of their history during the first economical year, a work which has already been per formed by the Ministry in the me

moir read before the Cortes on the 5th of March. It is sufficient to say, that in the taxes voted for the first year, there was experienced a deficiency of 181,442,774 reals, 25 maravedis, and that at the end of the same year there remained due to the estimates of the Ministry 107,451,582 reals, 1 maravedi.

With this deficit and this arrear, we entered on the second economi cal year. It was met, it is true, by 116,257,292 reals, 4 maravedis of balances, viz. 31,440,773 reals, 13 maravedis of the years anterior to the 1st of July 1820; and 84,816,518 reals, 25 maravedis of that corresponding to the first economical year; but the collection of the second year being compared with the estimate made by the finance committee of the contributions and rents of the state, as stated in the Diario of the Cortes, there appeared the enormous deficit of 322,060,935 reals, 31 maravedis. The data on which this result is founded are to be found in the circumstantial account of the Treasurer-general and accountant, which was presented to the Cortes. So remarkable a difference is doubtless not extraordinary, considering the high value at which the produce of the revenues of the Estanco, of the stamps, registers, and other branches were estimated, and the circumstance of having admitted into the account an item which has proved to be imaginary. I must nevertheless state to the Cortes, that this diminution from the estimated value (which in some branches has proved shamefully great) is in a great measure owing to the want of sufficient zeal in the officers, and even in some instances to their sinister intentions; for our enemies make war upon us in a thousand different ways, and they have not forgotten, that to deprive us as far as possible of resources is a

most powerful means of attack. The Government jealously exerts, and will continue to exert every vigilance on this subject, and will act rigidly and inflexibly towards the guilty; but it cannot go beyond its powers, which are circumscribed within a narrow circle.

With regard to the repartition for the second economical year, the accounts of the distribution drawn up by the Treasurer-general and the accountant, and the abstracts made in my office, and others subjoined, show that there have been made good in the said second year 134,414,441 reals, 10 maravedis, for effects previous to the year 1821, and 600,136,957 reals, 7 maravedis, for effects belonging to the second economical year; that there arises a surplus on the estimates of the first year, considered generally, though in particular, and at the commencement of the third economical year, there remain due to the voted estimates of the second year 191,255,313 reals, 1 maravedi. It does not appear necessary, on the present occasion, to advert to the inequality which has occurred during the two years, and in consequence of which less of some branches and more of others have been collected. The Minister, in the memorial already cited, has said enough upon the cause of this difference, which solely deserves to be noticed under a regular order of things, when the estimates necessary for all the details of the service omit nothing, keep a due proportion to the resources, and allow to no branch a preference over another. Besides, the foresight of the Cortes has prepared a remedy for this evil, by means of the system of account and reckoning wisely established by its decree of the 7th of May this year. The Government hastened to carry this decree into execution by means of the instruction