'Well, the inauguration of the Imperial régime took place in 1867. In the course of a few years a disinterested opinion was mooted and soon spread amongst the lords themselves to the effect that, now that the Shogun had resigned his function and had restored his administrative authority to the Imperial government, it also behoved the lords of all the clans similarly to resign and to give up to the Imperial court the administrative authority of their clan governments, together with the lands and people they governed. With such reasoning all the feudal lords, headed by the lords of Satcho, vied one with another in voluntarily taking that step. The offer was accepted, and the lords were duly nominated the governors of the different clans. Thus the nature of the position of the lords was changed. They now became mere officials appointed by the new Imperial government, and delegated to carry out its administrative measures. This was an event which took place in 1869. In the course of another few years, viz. in 1871, the clan system was finally abolished, and the prefecture system was introduced in its place. The former lords were ordered by the emperor to reside near him in the capital, and new governors were nominated in their places, chiefly from amongst the Samurai, who were already in the government service. Of course those perfectural governments were newly organised, with suitable subordinates nominated either from amongst those who were already in government service, or from amongst local celebrities. Thus was abolished our feudal system without any murmur.' --'That is the official history,' said one, 'but there must be also some inner history which you know of in connection with it.' --'Well,' I answered, 'the new Imperial government was inaugurated as you have already seen. It had no regular revenue as yet; it had neither army nor navy properly belonging to it. Okubo was planning a scheme for Satsuma, by which a portion of its revenue or territory was to be given up to the Imperial government, and that other clans might also be induced to follow the example. Simultaneously with Okubo, Kido was also meditating a project for making the new Imperial administration effective. He schemed the total abolition of the feudal system, the initiation of the idea having been impressed on him by Ito. He returned from Kioto to Chosiu, and presented his views to the Prince of Chosiu, who being a person of extreme loyalty, willingly gave his assent to Kido's proposal. On the return of Kido to Kioto, Okubo gave up his own plan and immediately accepted that of Kido. The matter having been thus agreed upon between the two most influential statesmen, it soon became a question of practical politics, and was successfully carried into effect in no time, as I have already told you.'