It was soon suspected at Lima that Alvarez had entered into terms with the viceroy, from certain circumstances which had transpired before he embarked, but more especially from his having set sail without waiting for the dispatches of the royal court of audience, which had been delayed a day in waiting for the consent of Ortiz. While they were still in some degree of uncertainty on this subject, and waiting anxiously to know the whole truth, they judged proper to send a representation on the state of affairs to Gonzalo Pizarro, of which the following was the tenor. "That, in consequence of their commissions, and of the express powers confided to them by his majesty of doing every thing which might be necessary for the due administration of justice, and to place the country in good order, they had suspended the execution of the obnoxious regulations, as demanded by the colonists, and had even sent off the viceroy to Spain, which was more than had been required or could have been reasonably asked. As, therefore, there now remained no call or pretence for the military preparations which he had set on foot, they commanded him immediately to dismiss his troops: But, if he were inclined to come to Lima, he must come there as a man of peace, without warlike array; yet, if he considered it necessary to his safety to have an escort, they granted him permission to bring fifteen or twenty horsemen along with him."

When these orders were prepared, the judges were desirous of sending some of the inhabitants of Lima to carry them to Gonzalo Pizarro; but no one would undertake the commission, which they considered as extremely hazardous. They represented to the judges, that Gonzalo and his officers would reproach them for opposing the just measures in which they were engaged; as they had associated for the general interest of the colony. On this refusal of the inhabitants, the judges gave orders to Augustino, the royal treasurer of Peru7, and Don Antonio de Ribeta, one of the citizens of Lima, to carry this order to Gonzalo. To these messengers they gave formal letters of credence, with which they set out upon their journey for the valley of Jauja, in which Gonzalo Pizarro was then encamped with his army. Gonzalo had already received notice of this intended embassy; and was afraid, if the envoys should give a public notification of the message with which they were entrusted, that his troops might mutiny; as he knew they were exceedingly desirous of marching to Lima in full force, that they might be in condition to pillage that city on the first pretext that offered. To prevent this, he sent Jerom de Villegas with thirty mounted musqueteers to intercept the two messengers now on their way to the army. According to his instructions, Villegas allowed Ribera to continue his journey to the camp; but made Augustino de Zarate a prisoner, and deprived him of his dispatches. Zarate was carried back by Villegas to the province of Pariacaca8, where he was detained a prisoner for ten days, and every means were employed to intimidate him that he might not execute the commission with which he was entrusted.

At the end of that period Gonzalo Pizarro arrived with his army at Pariacaca, and called Zarate into his presence to give an account of the subject of his mission: Zarate had been already made to understand that his life would be in danger if he attempted to execute the orders he had received literally: For which reason, after having explained the whole distinctly to Gonzalo in private, on being taken into the tent where all the insurgent captains were assembled, he proceeded, as instructed by Gonzalo, to discharge his commission with prudent reserve. Gonzalo desired him to repeat all that he had already communicated to him, but Zarate, understanding distinctly what was expected of him by Gonzalo, in addressing the assembled officers in the name of the judges of the royal audience, used considerable address, and availed himself of the full powers contained in his credentials. He was silent therefore regarding the dismissal of the troops, which was the point of delicacy, and confined himself to such other matters as seemed proper for the service of his majesty and the good of the colony. In this view, he represented to them, "that, since the viceroy was deported, and their demand for suspending the obnoxious ordinances was granted, it seemed just that they should repay the sums which Blasco Nunnez Vela had taken from the royal treasury, as they had promised. That they should forgive those inhabitants of Cuzco who had deserted from their camp to join the late viceroy, since it could not be denied that these men had substantial reasons for what they had done; and that they ought to send a humble deputation to his majesty, to excuse and exculpate themselves from the measures in which they had been engaged." Zarate added several things of a similar nature; to all of which the only answer given by the council of officers, which he was directed to carry back to the judges was, "that it was indispensably necessary for the well being of the colony, that they should appoint Gonzalo Pizarro governor of Peru. After which every thing that was required should be done: But if this were refused, the military council was determined to give up Lima to be plundered by the soldiers."

Zarate would willingly have excused himself from bearing this answer; but as no other could be procured, he was obliged to return to Lima, where he reported it to the judges, to whom it gave much uneasiness and dissatisfaction. Gonzalo Pizarro had not hitherto carried his pretensions so high, having only insisted for the departure of the viceroy from Peru, and the suspension of the obnoxious regulations, and the judges were much at a loss how to conduct themselves under this new and unexpected demand. After mature deliberation, they sent to inform the insurgent officers, "that they were unable to grant their demand, or even to take it into consideration, unless some person should appear before them authorised to present the request according to the accustomed forms." Upon this message, all the procurators or deputies of the cities who were in the insurgent army repaired to Lima; where, in conjunction with such other deputies of the cities as were resident in that place, they presented a formal request in writing, demanding the same thing which had been formerly done by a verbal message. The auditors, considering this affair as exceedingly delicate, and that they neither had any right to grant what was now demanded, nor sufficient power to refuse it, as Gonzalo was now very near Lima which he held strictly blockaded; they resolved to submit the whole to the consideration of the principal persons of the city, that they might receive their sentiments and advice in the present crisis. For this purpose, they drew up a formal instrument of the whole matter, which was communicated to Don Jerom de Loyasa archbishop of Lima, Don Juan Solano archbishop of Cuzco, Don Garcia Diaz bishop of Quito, Fray Thomas de San Martino provincial of the Dominicans, Augustino de Zarate the treasurer, and to the royal accountant and controller general9. This extraordinary council was desired to consider maturely the demands of the deputies, and to give their opinion freely on what was proper to be done in consequence. In this instrument, the judges explained at full length the reasons which induced them to require advice on this important subject, openly avowing that this measure was not resorted to in the view of following what the council might judge best, since neither the judges nor the council had any power in the present situation of affairs to act otherwise than as prescribed by Gonzalo Pizarro and his officers; but that the judges had called in this manner on the members of this extraordinary council, as recorded witnesses of the constraint and oppression under which they all now acted.