t that of friends. To commemorate the retreat from
Moscow, the Russians are now building the Church of Saint Saviour, whose
golden domes we see so conspicuous not far from the towers of the
Kremlin," observed Cousin Giles, pointing it out with his stick.

After gazing on the interesting scene for some time, the travellers
returned to their carriage.

In the evening a German gentleman, long resident in Russia, to whom they
had been introduced, gave them several important pieces of information.

"The late Emperor Nicholas was well aware," he told them, "that his
power rested on very precarious ground, and that, though a despot in
name, he knew that he was in the power of his own nobles. To liberate
himself, he endeavoured to weaken, if not to destroy, the old nobility--
first by leading them into all sorts of extravagance, and then by
creating a new order between nobles and peasants, who should feel that
they owed their elevation entirely to him.

"For this purpose he created what he called the Guild of Honourable
Merchants. Every merchant of the first guild who had paid a tax of 150
per annum for ten years without failure was eligible to belong to it.
The Honourable Merchants are free from all imposts, conscriptions,
etcetera, and pay no taxes. Another mode Nicholas took of ruining the
old nobility was to establish a pawn bank, where they could at all times
pledge then property. By encouraging their extravagance, many were
unable to redeem it, and, being put up for sale, it was bought up by the
Honourable Merchants and other members of the trading community. The
late Emperor also wished to encourage education. By an ukase he ordered
that all children throughout the country should be educated. To effect
this object every priest is bound to have a school attached to his
parish church. In consequence, a considerable number of children do
learn to read; but the ukase cannot make them go to school, and in many
instances the priests are so ignorant and careless that these schools
are of very little use. The present Emperor, it is said, wishes to
encourage liberal institutions. He has erected municipalities in the
towns. In the courts of law three officers are chosen by the Crown, and
three by the municipality, with a president who acts as judge. He is
anxious also to abolish serfdom; but to do so at once, without violence,
is dangerous. He is, however, effecting his object, which his father
also entertained, b