You had been used,
Khan had actually made you a perfect breakout tool and now that you started doing your own thing he tossed you aside.
From what Coldheart told you, after he knocked you out the whole crowd behind you was in chaos, which he and the criminals you recruited used to get out, followed shortly after by the guard who had to decide between pursuing them and attacking civilians.
The only good Thing about the whole mess was, that you now knew that you could trust the ones that stayed behind with you.
The Police on your payroll had in the meantime smoked out the remaining gang nests in manehattan, thanks to Information Sapper provided, when it counted he was with you.
most of your trusted second in commands were still around, thankfully.
As were the guys you recruited from low wage workers and the hobos... the latter had shown skills you´d sooner expect to find in the jungle.
"alright, about half of them is still with me, did i get that right, Coldheart?"
"Correct."
"and the beating i took is probably all over the media by now?"
"yes."
"oh joy... can we do damage control on the matter?"
"You declared the secession of manehattan and the lands of the County and were beaten down by one of your own underlings. the message that sends is not one of strength."
"The first order of Business once i´m out of here is to really make it official then. They have to know that i´m still going through with this."
"I´d rather suggest we distance ourselves from Khan first, he is no doubt up to something and unless we burn the Bridge it will lead the Problems he makes back to us."
Lightning Dust had let you brood to yourself for some time, when Coldheart had explained Khan´s relation to you she thought it better to let you sort out your thoughts.
"actually, his betrayal, may be the best Thing to happen, Thunderhead."
"what?"
"think about it, you surrounded yourself with some nasty guys, i say good riddance now that they ran off, they did the orange mansion massacre, on Khan´s payroll. In short, air out the laundry before the media, tell them about your trust, his betrayal, and then you call out that you´re not backing down, you vow to take khan down for what he did and you declare the new republic at the end."
"... when did you learn politics?"
"when Dash and I were pleading for my second Chance."
"hmmm..."