Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1908-01-14
Widespread Dissatisfaction Over
Action in Reducing Army
and Navy Expenses
TWO CABINET MEMBERS QUIT
Governments Policy Of Increasing
Taxation Meets With Widespread
Opposition = Efforts to Pay OF War
Obligations and Stopping Internal
improvements Brings Crisis.

Toxic, Jan. 14-Yoshiro Sakatani.
minister Of finance and Isaburo Yama-
gaia, minister of communications, have
resigned from the cabinet. Their res
ignations have been accepted. The res
ignation Of Marquis Saionji, prime
minister, has been refused. 1t is I'M
derstood differences exist over the
budget, which are irreconcilable.
Masahisa Mastuda, minister Of JUS
tice, will combine the portfolio OF
finance, and Keihara, minister OF the
interior, will combine that of minister
of communication. This leaves the
cabinet without any new element and
removes the disputants who had been
disturbing factors for some time past.
Information about the resignation of
Isaburo Yamagata, minister of COM
munications; was announced by the
Associated Press
The official denial made the following
day probably was intended to tide over
the period during which there was a
possibility of adjustment.
The cabinet council this morning
gave rise to some heated debates.
Yamagata insisted upon the resigna-
ton of Sakatani, who is responsible
for the budget which will be introduced.
in the diet this morning and who is
blamed by the cabinet ministers and
public because in 1907 he promised
there would be no increase made in
taxation nor would there be any resort
to a foreign loan in 1908.
Investigation of the financial situa-
ton convinced the cabinet officers and
elder statesmen that the increase in
taxation, or in lieu thereof foreign
loan, was unavoidable. Sakatani en-
deavored to reduce the appropriation
for the army and navy. to which the
factions objected and finally succeeded
in carrying their point. Sakatani the4~S
upon attempted to reduce the app-opri-
ations for railroads, and to this Yama-
gaia raised an objection. Sakatanf
then increased the general ton, bu.5
this found strenuous objections among
the leading merchants and bankers
Sakatani finally decided to resign and
also insisted that his resignation be-
accept, d.
Marquis Saoinjai, who is responsible
as the head Of the cabinet, then decid-
ed to tender his resignation and other
members Of the cabinet, who agreed
finally decided on the following pro-
gram: Marquis Saoinjai's resigna-
tion to first be offered. If the emperor
declined to accept it, then the resigna-
tions of Sakatani and Yamagata be Of
fered, Matsuba and Eara consenting
to, combine their portfolios. In pursu-
ance of this agreement, Premier Sal
onjai and Prince Ito waited on the em-
peror this afternoon. The emperor re.
fused to accept the resignation of Sal
onjai, but accepted the designations Of
Sakatani and Yamagata. The whole
matter is now believed settled. There
probably will be some changes of items
in the budget and probably the gov
ernment may decide not to increase the
taxation, but instead reduce the ap-
propriations for the army and navy. It
is possible it may be decided to issue q
loan to cover the deficiency.