When Pedro de Hinojosa took possession of his government of Las Charcas in place of Paulo de Meneses, he found a great number of soldiers in the country, who were exceedingly troublesome, as there were neither sufficient quarters nor provisions for so many; on which he took occasion to reprove Martin de Robles and Paulo de Menezes, alleging that their quarrels had drawn so many soldiers thither, for which reason they ought to provide for them, and not allow them to die of famine. So great was the confusion and disturbance, that many of the principal inhabitants retired from the city to their estates in the country, to avoid the violence of the soldiers, who were now come to such a pitch of insolence, that they held public meetings, openly avowed their cabals and plots, and upbraided Hinojosa with his breach of promise, alleging that he had engaged to be their general when he should arrive in Las Charcas. They even declared themselves ready for an insurrection, offering to put themselves under his command. Hinojosa endeavoured to amuse them with hopes, by telling them he expected very soon to receive a commission from the judges to enlarge their conquests by a new war, which would give them an opportunity to rise in arms. Although he had formerly let fall some dubious expressions at Lima, which the soldiers were disposed to consider as promises of support, he was far from any intention of complying with their turbulent and rebellions humours. Being now in possession of his government, with an estate in lands and Indians worth two hundred thousand dollars a-year, he was desirous to enjoy his fortune in peace, and not to risk the loss of these riches by a new rebellion, which he had gained in the former at the loss of Gonzalo Pizarro.

Disappointed in their expectations from Hinojosa, the soldiers consulted how to manage their intended rebellion under another leader, and agreed to kill Hinojosa and to elect Don Sebastian de Castilla as their commander-in-chief; and their design was carried on with so little regard to secrecy that it soon became publickly known in the city of La Plata. Several persons of consideration therefore, who were interested in the peace of the country, communicated the intelligence to Hinojosa, advising him to take precautions for his security, and to banish these people from his government. One Hondegardo a lawyer was particularly urgent on this occasion; and offered, if Hinojosa would appoint him his deputy for one month, that he would secure both him and the city from the threatened danger of insurrection; but Hinojosa had so much confidence in the power of his office, and the influence of his vast wealth and reputation, that he despised every thing that he did not see with his own eyes, and neglected all their warnings. Being unable to persuade the governor to listen to him, and as the soldiers still proceeded in their rebellious designs, and threw out many threatenings against the governor, Hondegardo prevailed on the guardian of the Franciscan convent to intimate to the governor that he had received communications respecting these proposed schemes of the soldiers in confession, and to urge him to make judicial examinations into the affair and to punish the offenders; yet even this made little impression on Hinojosa. Notwithstanding these and other intimations of the plot, Hinojosa obstinately refused to attend to the suggestions of Hondegardo and others, proudly declaring he had only to hold up his hand to make the soldiers tremble before him.

Impatient of any longer delay, the conspirators came at length to the determination of putting the governor Hinojosa to death, and rising in a general insurrection. The principal ringleaders in this conspiracy were Don Sebastian de Castilla, Egas de Gusman, Basco Godinez, Balthazar Velasquez, and Gomez Hernandez, besides several other soldiers of note, most of whom were then resident in the city of La Plata. Having arranged their plan of operations, Don Sebastian and seven chosen accomplices went one morning to the residence of the governor, as soon as his gate was opened, to execute their vile purpose. The first person they met on entering the house was Alonzo de Castro, the deputy-governor, who questioned them on the reason of their present tumultuous appearance, as they seemed extremely agitated. They immediately put De Castro to death. Then forcing their way into the apartment of Hinojosa, they were astonished to find him gone: But after some search he was found in a retired corner, and dispatched.

After the death of Hinojosa, the conspirators went out to the market-place, proclaiming aloud, God save the king, the tyrant is dead! the common watchword in all the rebellions in Peru. 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. After this, they made proclamation by beat of drum, for all citizens and other inhabitants of La Plata, to repair immediately to the market-place and enrol themselves under their standard; on which Rodrigo de Ordlana, though then sheriff of the city, and many others, to the amount of a hundred and fifty-two persons, came forwards and inlisted, fearing for their lives in case of refusal. Don Sebastian was elected captain-general and chief-justice, and some days afterwards he got himself appointed mayor of the city: Gomez Hernandez a lawyer was appointed recorder; Hernando de Guillado and Garci Tello de Vega, were made captains; Juan de Huarte serjeant-major, Pedro de Castillo captain of artillery, Alvar Perez Payaz commissary-general, Diego Perez high sheriff, and Bartholomew de Santa Ana his deputy. Rodrigo de Orellana, and many of the citizens, who now joined the rebels, acted merely from fear of losing their lives if they refused or even hesitated, though loyal subjects in their hearts.

Immediately after the murder of Hinojosa, intelligence was sent in various directions of the insurrection, and great numbers of malcontents flocked to the city of La Plata to join the rebels. Among these was Basco Godinez, who had been a chief instigator of the conspiracy, and who seems to have promoted or permitted the elevation of Don Sebastian to be commander-in-chief merely to use him as an instrument of his own ambition, and to screen himself in case of failure at the commencement: For, in a very few days, Don Sebastion was put to death by Godinez and a few confidential associates; and they immediately proclaimed their bloody exploit to the rest of the insurgents, by exclaiming God save the king! the tyrant is slain! He even carried his dissimulation to such a length, as to erect a court of justice to try those who had murdered Hinojosa, in the vain hope of covering his own treasonable conduct, and to make himself and his abettors appear as loyal subjects. The murder of Hinojosa took place on the 6th of March 1553, and the subsequent slaughter of Don Sebastian on the eleventh of the same month, only five days after.

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 next place, he called together Zarate, Paniagua, Antonio Alvarez, and Martin Monge, the only citizens then remaining in La Plata, whom he desired to elect him captain-general of the province, and to grant him the vacant lands and Indians which had belonged to Hinojosa to enable him to maintain the dignity of that office. Not daring to refuse any thing in the present situation of affairs, they acceded to his demands, and Godinez was proclaimed lord chief-justice, governor, and captain-general of the province, and successor to Hinojosa in his great estate and rich mines, producing two hundred thousand dollars of yearly revenue. After this, Gomez Hernandez the lawyer was appointed lieutenant-general of the army; and Juan Ortiz and Pedro de Castillo were made captains of foot: pretending on this occasion to communicate a share in the administration of government to the citizens, which they were constrained to accept. Balthazar Velasquez, one of the conspirators, was appointed major-general. Next day Martin de Robles, Paulo de Meneses, Diego de Almendras, and Diego Velasquez returned to the city, having fled from some soldiers that had been sent in search of them by Don Sebastian; and were immediately enjoined to concur with the other citizens in confirming the appointment of Godinez.