Hinojosa now resumed his voyage, in the course of which he fell in with Rodrigo de Carvajal, who gave him an account of the situation of affairs at Panama, and recommended the propriety of using judicious measures against that place, as it was provided for defence. Hinojosa accordingly appeared before Panama with eleven ships and two hundred and fifty soldiers. At this time there were more than five hundred men in Panama, all tolerably well armed, who were drawn, out under the command of Casaos to oppose the landing of the Pizarrians. But among these there were many merchants and tradesmen, little adapted for war, who hardly knew how to use their weapons, and many of whom were even unable to fire off a musquet. Many among them had no intention of fighting or of opposing the descent of the insurgents of Peru, whose arrival they were disposed to consider as more advantageous than prejudicial. The merchants expected to be able to sell their commodities, and the tradesmen were in hope of procuring profitable employment, each according to his occupation. Besides, the rich merchants had partners or factors who resided in Peru, and had charge of their most valuable effects; and were afraid, if they concurred in opposing Hinojosa, that Gonzalo Pizarro might revenge himself by seizing their goods and maltreating their partners and factors. Those who were principally inclined to oppose the landing of Hinojosa, were Pedro Casaos the governor, Guzman and Yllanez the captains belonging to the viceroy, Arias de Azevedo, Juan Fernandez de Rebollido, Andrew de Arayza, Juan de Zabala, Juan Vendrel, and some other considerable inhabitants of Panama; some from principles of loyalty, others from fear of future evils, lest Hinojosa might act with the same violence as had been done by Bachicao. Finding himself resisted, Hinojosa landed with two hundred men about two leagues from Panama, towards which place he marched close along the shore, being, protected on one flank by a range of rocks from the attack of cavalry, and on the other by the boats of his squadron armed with some pieces of artillery. Fifty of his soldiers were left on board for the defence of the ships, and orders were given to hang up Vela Nunnez and the other prisoners whenever the enemy were seen to attack him. Casaos marched with all his troops from Panama to meet Hinojosa, with the determination of giving battle: But when the hostile parties were almost within musquet shot and ready to engage, the whole priests and monks of Panama interposed between in procession, having their crucifixes veiled and every other demonstration of mourning, and prevailed on both sides to agree to a truce for that day, that endeavours might be used to bring about an accommodation. For this purpose negotiators were appointed on both sides; Don Balthasar de Castilia, son of the Conde de Gomera, was named by Hinojosa, and Don Pedro de Cabrera on the part of Casaos, and hostages were mutually interchanged.