During the remainder of the year 1530 few incidents worthy of note occurred in the province. The natives were frequently in revolt; but to describe each petty insurrection would be but tiresome repetition. One Luis Moscoso was despatched with a hundred and twenty men to the district beyond the Lempa, and after pacifying the natives founded there a settlement which Juarros declares to have been the town of San Miguel.[VI‑39] Diego de Alvarado, at the head of a hundred and seventy men, conducted an expedition to Honduras and founded in the northern part of that territory the town of San Jorge de Olancho,[VI‑40] but owing to famine and misfortune in April of the following year he was obliged to return with the shattered remnant of his command in such sorry plight that he was forced to ask the cabildo to receive and provide for them. CHAPTER VII. ALVARADO'S EXPEDITION TO PERU. 1531-1536. SHIP-BUILDING IN GUATEMALA—ALVARADO PREPARES AN EXPEDITION TO THE SPICE ISLANDS—BUT TURNS HIS ATTENTION TOWARD PERU—OPPOSITION OF THE TREASURY OFFICIALS—THE PILOT FERNANDEZ BRINGS NEWS OF ATAHUALPA'S RANSOM—STRENGTH OF ALVARADO'S ARMAMENT—HE LANDS AT PUERTO VIEJO—FAILURE OF HIS EXPEDITION—HIS RETURN TO GUATEMALA—NATIVE REVOLTS DURING HIS ABSENCE—THE VISITADOR MALDONADO ARRIVES AT SANTIAGO—HE FINDS NO FAULT IN THE ADELANTADO—BUT IS AFTERWARDS ORDERED TO TAKE HIS RESIDENCIA—ALVARADO IN HONDURAS. One of the first matters which engaged Alvarado's attention on his return to Santiago was the discovery of a site adapted to ship-building, for he was now resolved to carry out his intended voyage in search of the Spice Islands. In accordance with the emperor's instructions, he sent parties to explore the seaboard for that purpose. At a distance of fifteen leagues from the city, near the modern port of Istapa, a suitable spot was found, in the vicinity of which was an abundant supply of excellent timber, and the work was at once begun. [Sidenote: THE ARMAMENT.]