One of the factors that led to the beginning of World War I was close bilateral relations between the Kingdom of Serbia and the Russian Empire. While Russia and Serbia were not formally allied, Russia openly sought political and religious influence in Serbia. In May 1914, Serbian politics were polarized between two factions, one headed by the Prime Minister Nikola Pašić, and the other by the radical nationalist chief of Military Intelligence, Colonel Dragutin Dimitrijević, known by his codename Apis. In that month, due to Colonel Dimitrijević's intrigues, King Peter dismissed Pašić's government, but the Russian Minister in Belgrade intervened to have Pašić's government restored. Pašić, though he often talked in public, knew that Serbia was near-bankrupt and, having suffered heavy casualties in the Balkan Wars and in the suppression of an Albanian revolt in Kosovo, needed peace. Since Russia also favoured peace in the Balkans, from the Russian viewpoint it was desirable to keep Pašić in power. However, the Assassination of Archduke Franz Ferdinand led Austria-Hungary to declare war on Serbia during the July Crisis. Russia mobilised her armed forces in late July ostensibly to defend Serbia, but also to maintain her status as a Great Power, gain influence in the Balkans and deter Austria-Hungary and Germany. This led Germany to declare war on Russia on 1 August, ultimately expanding the local conflict into a world war.