It is satisfactory to know that the treacherous policy which the Dutch had thought themselves strong enough to pursue toward Portugal in her hour of weakness, was followed with the worst possible results to themselves. They had at no time been so completely masters of _Pernambuco_ as to be able to supply _Recife_ with provisions for the country; and, when an honestly-observed truce might have enabled them to consolidate their conquests, they set the Portuguese an example of practices which speedily recoiled on their own head. The pecuniary resources of the Company were exhausted by the various expeditions to _Seregipe_, _Maranham_, _Angola_, and _Chili_. Money became scarce at _Recife_. Hitherto all transactions had been carried on on credit; but now credit was stopped, and money had to be borrowed at the ruinous rate of 3 or 4 per cent. interest per month. Many of the planters were ruined by the floods and the subsequent ravages of the worm; whilst the small-pox committed great havoc amongst the valuable negroes imported from _Angola_. So great was the pecuniary distress that the most desperate measures were resorted to, and which only made matters worse. Some creditors endeavoured to procure payment of their debts by means of large abatements; others threw their debtors into prison; whilst the government felt itself compelled to exact its dues by seizing the sugar produce at harvest time. Thus a conflict arose between the government and the public as to the priority of their respective claims, and the result was embarrassing and ruinous. In this state of things it was suggested that the Company should contract with the owners of the sugar-works for a certain number of years, receiving the whole products of the works and satisfying the demands on the estate. The plan was approved by the Home Government; but it only proved a partial remedy to the disorder. Many of the Portuguese in _Pernambuco_, being now deeply indebted to the Dutch, had a greater interest than ever in inciting insurrection. They had further cause of complaint in the insolence and brutality of their conquerors. An edict was passed inviting slaves by the promise of reward to give notice if any of their Portuguese masters should have concealed arms. This measure, as may be believed, led to intolerable abuses, certain Dutchmen going to the length of tampering with slaves to hide arms, in order to have their masters condemned. On one occasion two Dutchmen were informed upon by a slave upon whom they had thus practised, and having confessed their guilt, were deservedly put to death.