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Rh eunuchs. For advice on matters outside the capital she relied chiefly on the seasoned stateman, Li Hung-chang. When the Office of Naval Affairs was established in 1885 it was entrusted to I-huan and Li Hung-chang, with two assistants.

In 1886 I-huan inspected the new navy, accompanied—be it noted—by Hsiao-ch'in's favorite eunuch, Li Lien-ying 李蓮英 (d. 1911). In the course of the tour a censor reprimanded the eunuch for insolence, and warned of the dangers of eunuch rule, but I-huan defended the culprit, and the censor was degraded. In the same year I-huan led the courtiers in entreating the Empress to continue her regency and not to transfer the government to Emperor Tê-tsung as previously promised. After a proper show of reluctance, the Empress consented and ruled as regent two years longer. Finally, on March 4, 1889, six days after the Emperor had married her niece, a daughter of Kuei-hsiang (see under ), she relinquished nominal control, doubtless, however, counting on her niece to help direct the Emperor, or at least to report matters to her.

Thereupon Empress Hsiao-ch'in retired to the Summer Palace northwest of Peking, known as I Ho Yüan 頤和園, or Wan Shou Shan 萬壽山. In the years 1886–91 this Palace was reconstructed from an old imperial garden, Ch'ing-i Yüan 清漪園, which had been partially destroyed by the British and French forces in 1860. The rebuilding was financed by funds intended for the construction of a navy (see under ). Though a masterpiece of landscape gardening, its construction deprived the country of a much-needed navy. At this retreat the Empress Dowager each year inspected the troops on parade. But the expense for building and maintaining it was enormous, so that aside from large drafts on the treasury, she had to invent her own sources of revenue. High officials paid to her large sums for brief audiences and minor officials paid for promotions—the power of appointment having never been fully conceded to the Emperor. In 1894 preparations were made for the celebration of Hsiao-ch'in's sixtieth birthday, and officials and men of wealth were invited to contribute funds for the occasion. Officially, at least 1,206,900 taels were received—unofficial contributions doubtless being much greater. Even the outbreak of the Sino-Japanese War did not prevent the preparations from going on, but when reports of continual defeats came to Peking Empress Hsiao-ch'in reluctantly cancelled the event.

During the next four years friction between the Empress Dowager and Emperor Tê-tsung increased. Under the tutorship of —which was abolished, however, by Hsiao-ch'in after 1896—and later with the encouragement of K'ang Yu-wei (see under ) and others, the emperor became convinced of the necessity of specific reform measures which, by the summer of 1898, he was eager to put into effect. But actual power was still in the hands of conservative officials who, fearful of losing their posts, rallied to the support of the Empress Dowager. She, too, was fully aware of the danger to her power should the Emperor succeed in carrying out his plans, and so immediately took steps to maneuver her supporters into key positions. The loyal Jung-lu was made governor-general of Chihli in command of the best trained and best equipped troops of the day. On June 15, 1898 Wêng was ordered to retire and thus the Emperor was deprived of the last person who might have effected a reconciliation between the two factions. The only great official with military power whom the reformers believed they could hold to their side was Yüan Shih-k'ai (see under ) but in the end he betrayed them by revealing the plans to the Empress Dowager. On September 22 the latter summoned the Emperor to her presence and ordered him placed in confinement. Once more she assumed full powers as regent, keeping at her side all the reactionary and corrupt officials and eunuchs who certainly would have been removed if the reform movement of that summer had succeeded. Six of the leading reformers were executed, others found refuge in foreign countries, and the rest were cashiered (see under ). Although Hsiao-ch'in and her followers thus completely wrecked the Emperor's projected reforms they were unsuccessful in their plan to dethrone him. Early in 1900 P'u-chun, son of Tsai-i (for both see under ), was made Heir Apparent as a preliminary step to dethronement. Congratulations to Tsai-i from the foreign ministers were then in order, but when these were not forthcoming his pride was piqued and from then on he lent his hand to anti-foreign activities.

Late in 1889 the secret society known as I-ho ch'üan (see under ), or Boxers, became active in Shantung province, but when Yüan Shih-k'ai was made governor the agitators were driven to Chihli and Shansi, and by May 1900 298