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A great battle took place at Ambato, in which Atahuallpa was victorious, and he marched on in the direction of Cuzco, carrying all before him, and only experiencing a slight check from the islanders of Puná.

On receiving tidings of the discomfiture of his army at Ambato, he made every exertion to raise levies throughout the country.

Luis Cervallos is my friend, the best of Ecuadorianos. He owns three cacao plantations at Naranjito and Chobo. At Milagro is his big sugar plantation. He has large haciendas at Ambato and Latacunga, and down the coast is he interested in oil-wells. Also has he spent much money in planting rubber along the Guayas. He is modern, like the Yankee; and, like the Yankee, full of business.

He had not advanced farther than Ambato, about sixty miles distant from his capital, when he fell in with a numerous host, which had been sent against him by his brother, under the command of a distinguished chieftain, of the Inca family. A bloody battle followed, which lasted the greater part of the day; and the theatre of combat was the skirts of the mighty Chimborazo.9

In the year of 1840 in the town of Banos, Ecuador, died "Old Morales," a carpenter, vigorous to his last days. He was an elderly man and steward of the Jesuits when they were expelled from their property near this location in 1767. In the year 1838 there was a witness in a judicial trial in South America who was born on the night of the great earthquake which destroyed the town of Ambato in 1698.