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That the president had arrested these deputies at Panama, had seduced his officers, and had taken possession of his ships. That the president certainly had done all these things to advance his own private interest; as, if he had received orders from his majesty to make war against the kingdom, he would assuredly have given intelligence of this circumstance through Paniagua.

He had implicit confidence in the fidelity of Hinojosa. It was at this period that Paniagua arrived off the port with Gasca's despatches to Pizarro, consisting of the emperor's letter and his own. They were instantly submitted by that chieftain to his trusty counsellors, Carbajal and Cepeda, and their opinions asked as to the course to be pursued. It was the crisis of Pizarro's fate.

During his residence at Panama, the president contrived to manage so judiciously with Hinojosa, whom he frequently visited, that he procured his consent to send Pedro Hernandez Paniagua, a gentleman who had accompanied him from Spain, with letters to Gonzalo Pizarro apprizing him of his arrival in Tierra Firma, and the object of his mission.

He appointed Don Martin de Almendras, who had married his sister, lieutenant-general, Diego de Porras standard-bearer, and Diego de Villavicennio major-general. Pera Hernandez Paniagua, Juan Ortiz de Zarate, and Don Gabriel de Guzman, were captains of horse.

It was not long after the departure of Paniagua, that Pizarro received tidings of the defection of Aldana and Hinojosa, and of the surrender of the fleet, on which he had expended an immense sum, as the chief bulwark of his power.

Godinez and his associates immediately liberated Juan Ortiz de Zarate and Pedro Hernandez Paniagua from prison, pretending that their great purpose in taking arms was to procure their liberty, to deliver the city from the rebels and traitors who would have ruined it, and to evince their loyalty to the king.

In the mean time, Paniagua procured permission, through the intermediation of the licentiate Carvajal, to return to Panama, though contrary to the opinion of the other insurgent officers, who were clear for detaining him; and he may assuredly be reckoned fortunate in having got away from Lima before intelligence arrived there that the fleet and army at Panama had submitted to the president.

Having collected all their associates, they seized on Pedro Hernandez Paniagua, the person employed by the late president Gasca to carry his letters to Gonzalo Pizarro, Juan Ortiz de Zarate, Antonio Alvarez, and all the wealthy citizens they could lay hold of. Martin de Robles, Paulo de Menezes, and Hondegardo the lawyer, against whom they were particularly incensed, made their escape.

He pretended to be perfectly assured of this circumstance, by letters from Francisco Maldonado, whom he had sent to the king, and that the president had even in some measure acknowledged this in the letter which was brought from him by Paniagua.

Don Balthazar de Castille was sent at the same time to Guatimala and Nicaragua on a similar mission; and other persons were dispatched to San Domingo, to procure every possible assistance for prosecuting the war in Peru, if that measure should ultimately be necessary. It has been already mentioned that Pedro Hernandez Paniagua was dispatched by the president with letters for Gonzalo Pizarro.