It was true that he had no authority from Velasquez to do so, but the interests of the emperor and of Spain--to say nothing of their own--were of more importance than those of the Governor of Cuba.
This talk reached the ears of the special friends and adherents of Velasquez; who, going to Cortez, remonstrated with him against such proceedings.

He said that nothing was farther from his desires than to exceed his instructions, and on the following morning issued a proclamation to the troops, ordering them to prepare for embarkation.

The sensation caused among the troops was great, and his partisans thronged round his tent, calling upon him to countermand his orders and form a settlement.

Cortez, after due hesitation, gave in to their wishes, nominated magistrates, and proclaimed the territory a colony of Spain.

As soon as the new magistrates and officers came together, Cortez came before them and tendered his resignation of his office as captain general, but was re-nominated not only captain general, but Chief Justice of the colony.
The partisans of Velasquez were most indignant at the whole proceedings, and so violent were some of the leaders that Cortez put them in irons, and sent them on board ship.