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about the year 1772, when, Government determining to take them 

 into their own hands, these contracts were ended. 



This was the time for reforming abuses, and for placing this rich 

 district under the best regulations, but it was neglected ; prejudice 

 prevailed over prudence ; and the management was entrusted to 

 men who did not understand the real interests of the concern, or, 

 what is more probable, who were so shackled in their authority, 

 that they could not pursue them. From this time affairs became 

 worse, and the establishment was in debt to foreigners, who had 

 advanced a considerable sum of money on the security of having all 

 the diamonds which the mines produced. This debt still remains 

 unpaid, and there are other incumbrances, which can be removed 

 only by a total change of system. In its present state the esta- 

 bhshment appears to produce much greater wealth than it actually 

 does. During a period of five years, from 180 J to 1806 inclusive, 

 the expences were 204,0001. ; and the diamonds sent to the treasury 

 at Rio de Janeiro weighed 115,675 carats. The value of gold found 

 in the same period amounted to 17,3001. sterhng, from which it ap^ 

 pears that the diamonds actually cost Government thirty^three shil- 

 lings and nine-pence per carat. These years were esteemed singu- 

 larly productive ; the mines do not in general yield to Government 

 more than 20,000 carats annually*. 



The town is under the absolute government of the Tntendant. 

 The principal officers of the civil and military establishments are, 

 an ouvidor or fiscal, a captain of cavalry, and a captain mor. In 

 the Diamond establishment there is a great number of officers, of 

 whom the following are the principal : 1st, the Intendant, who is a 

 judge, and inteiidant-general of the capitania of Minas Geraes 

 (this office is one of the best in the gift of the crown) ; 2d, the Trea- 

 surer, whose situation is almost a sinecure : he receives 8,000 cru- 



* Exclusive Qf this amount, there is a vast quantity smuggled. 



K K 



