I guess the answer is that the church leaders began selling them as a way of raising money
They are a sovereign state, that has the authority to tax all bussiness within it´s borders. Later this came to one of the firsts big cases on the Supreme Court, given the fact the it´d set an example for the other states on the possibility of taxing or going agaisnt federal desicions. Eventually the Supreme court would prohibit Maryland from taxing the National bank cause <em>"The power to tax, is the power to destroy".</em>
Well I can't see the possible sentences, but muslims were a minority in India at the time and the population was predominantly Hindu. Forcing the majority of the population to change their religion forcibly (and through that many of their core values, beliefs, traditions and practices) was a quick way to create political unrest which could lead to a revolution. They we're already a minority ruling a large and powerful nation, so they were already dealing with a lot of resistance from the population as it was. Maybe they wanted to practice tolerance for moral reasons, but more likely they just didn't want to push their luck when they were already struggling to remain popular.
Till tip of south america