"It is not generally known that the first Declaration of Independence from Mexico was drawn and signed on the altar of Our Lady of Loreto Chapel at Presidio La Bahia. To celebrate the signing, Capt. Phillip Dimmitt’s volunteers made this flag as Nicholas Fagan cut a sycamore pole staff. They raised the flag and as it unfurled for the first time it was immediately pierced with a gunshot from the streets outside the wall. Three months later, Col. James Fannin and approximately 400 Texian volunteers found themselves imprisoned at Goliad after being beaten and captured nine miles away by General Urrea. On the morning of March 27, 1836, the Captured Texians were divided into three groups. Some were told they were going home and some that they were going out to gather firewood. After they were marched outside, Mexican officers gave a signal and they were executed. 342 unarmed men were massacred, their bodies piled up, set ablaze, and left to rot. Col. Fannin and other Texian wounded were then shot inside the walls at Goliad. Fannin’s body was left in a drainage ditch. The 342 Texians laid in piles from March 27 to June 3, 1836. General Rusk and company found the bodies and buried them one block behind the Presidio." - Texas Flag Park
"This militant and defiant banner, designed by Goliad garrison commander, Captain Phillip Dimmitt, dramatically reflected the political shift of Texians and Captain Dimmitt away from support of the independent statehood of Texas in the Mexican Federalist Republic and return to the Constitution of 1824 to support of complete separation from Mexico as an independent Republic. Before he returned from the Siege and Battle of Bexar to Goliad in the middle of Dec 1835, Captain Dimmitt was an avid Mexican Federalist and opposed to separation which was symbolized in the 1824 Mexican tri-color which is also thought to be of his own design. Dimmitt's bloody arm flag was said to have been raised ceremonially on Dec 20 upon the signing of the Goliad Declaration of Independence as the official flag of the occasion although the banners of companies of Captain William S. Brown and Captain William Scott were also present at Goliad at the time. --- Dimmitt's flag flew over the ramparts of Goliad through 10 Jan 1836 when Dr. James Grant and the Federalist Volunteers of Texas forced its removal with threat of violence and which caused the subsequent exit of Col. Dimmitt and those loyal to him from the garrison. The banner is thought to have exited with them. The motivation behind Dimmitt's use of the bloody arm symbol is unclear as was whether he acquired it independently or simply under influence of the Brown flag, which employed the same symbol."