The Hungarian Cabinet has resigned in consequence of the acquittal
of 31.'Zoltan Desy, formerly an Under-Secretary of State, who had been prosecuted for libelling the Premier, Dr. Lukacs. The charge. was, shortly, that Dr. Lukaca had extracted large contributions to the party funds from the Hungarian Bank in return for certain important privileges connected with a salt contract and the State railways; also that he had taken advantage of his position to sell part of his private property to the State at a huge profit. The original trial was quashed by the Court of Second Instance on the score of legal irregularities—the Government having exerted its influence in a most arbitrary fashion to procure a condemnation —and a second trial was ordered, which has now resulted in M. Desy's acquittal on the ground that he had made good his point with regard to the bank transaction.