coercing the Portuguese in the fort to break neutrality and fire on the British in defense. Regardless, after an initial assault by 14 British longboats, the British ship H.M.S. Carnation fired on, then her men set flame to the Armstrong as its crew abandoned ship to their enemy. During the course of the battles houses were damaged in Horta, and people killed or injured. The legal implications of the events extended for 36 years: the ships owners, upon not obtaining reparations for the sinking of the Armstrong turned to Portugal, who they believed, that the military in the Fort of Santa Cruz should have defended, since the ship was in a supposedly safe, neutral harbour. Considering the age and condition of the fortress at this time, it was highly unlikely and futile. During the Portuguese Liberal Revolution (1821), the residents of Faial were hesitant to rebel (given the reign of terror on Terceira, where Governor Stockler annulled changes, demanded an oath to the King and arresting liberal). A month later (May 12) when British ships arrived, its officers were permitted to visit the local Governor and, with a group of prominent citizens, was convinced to adopt the liberal system: cheering in the streets were accompanied by salvos from the Fort. The fort was later taken by the forces loyal to Peter IV, as his regency attempted to take the Azores as a stepping stone to retake the throne from his absolutist brother Miguel. In 1927 the fort's title was transferred to the Câmara Municipal of Horta, where it was to be demolished in order to make way for the coastal avenue (then in the planning stages and that supporters insisted would break the continuity of such a project). Members of the Junta Geral of the District had suggested transferring the fort stone-for-stone to Monte da Guia, in order to maintain "progress" in the district. Others, like Osório Golourt, Marcelino Lima, Sarmento Rodrigues and Augusto Arruda promoted maintenance, rehabilitation or even a tunnel beneath the structure. But, the lack of funds impeded this project and the fort was spared from demolition. By decree, the fort was classified as a national monument (No.36 383) on 28 June 1947. Much later, the building was re-purposed as part of the network of Pousadas de Portugal, a project of the Direcção-Geral dos Edifícios e Monumentos Nacionais (DGEMN) (General-Directorate for Buildings and National Monuments), officially re-opened