Lirrachan Anarchy

The Lirrachan Anarchy was a total collapse of authority in the capitalist Lirrachan Republic precipitated by the collapse of the economy and mass unemployment, following almost a decade of grueling warfare and austerity.
In July 1296, LRS Hand of Democracy, the first Democracy-Class Dreadnaught, suffered a catastrophic failure of her turrets, afterwhich a massive sale of Bannean Arms stocks lead to a collapse of the Stock Market. Shortly after, a bank run lead to the collapse of the Bank of the Republic, and the government backed corporations collapsed. Heavily in debt from the Great War and Third Pandrosi War, as well as excessive spending of Treasury funds by the Corporations lead to the collapse of the Republican Dollar, and employment shot through the floor in the next month. A Congressional Panel estimated that almost 93% of the population was now unemployed and that most of the working class's savings had evaporated or been spent by Bannean Arms. 
Attempts to open new lines of credit or gain aide from the Gretian Empire were thwarted by an increasingly isolationist Empress, and riots broke out against the Government and Corporations by early 1297. In June, a bomb was detonated in the Congress of Deputies, killing a number of them, and driving the government to evacuate, as the Ironbridge Riots ravaged the city. 
A group formed under Sorel Inanias, leader of the Iron-workers Union, seized control of the mines for themselves, and began organizing a massive Syndicalist movement, which other Unions flocked to. To compound issues, the country was struck by the Eulasian Flu, the President and cabinet were wiped out as well as a large portion of the population, and the army was unable to mobilize to quell the revolt due to rampant deaths in the camps.
The Congress of Deputies forced Clariel Vercinge to become President of Lirrach for a second time, as Syndaclist forces gained ground in the north of the Republic.