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government, presided by Hilarión Daza, considered this an internal issue subject to the jurisdiction of the Bolivian courts. Chile insisted that the breach of the treaty would mean that the territorial borders denoted in it were no longer settled. Despite this, Hilarión Daza rescinded the license of the Chilean company, seized its assets and put it up for auction. On the day of the auction, 14 February 1879, Chile's armed forces occupied without resistance the Bolivian port city of Antofagasta,

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