She has come to the conclusion that the people of the Sandwich Islands
want neither her nor her rule any longer. She did so many bad things
while she was queen that the people who would like to see the monarchy
restored would not be willing that she should be queen again.

Liliuokalani has therefore decided to resign the throne in favor of her
niece, the Princess Kaiulani.

This young lady is a charming and well-educated person, and the old
Queen is wise enough to know that none of the objections which people
have to her could apply to Kaiulani.

If the plan is successful, the young Queen is to make ample provision
for Liliuokalani.

Meanwhile Japan has agreed to arbitrate the immigration question, but
refuses to consider the matter from the Hawaiian point of view.

The complaint which was made against Japan in the first instance was
that she evaded the law which provided that every immigrant must have a
contract for labor and fifty dollars in cash in his pocket, by giving
false contracts and lending the required fifty dollars, which immigrants
gave back as soon as they were safely landed.

The Japanese refuse to enter into the question whether this fifty
dollars was fraudulently supplied. They say that so long as each man
had fifty dollars in his possession, it was nobody's business where or
how he got it. They persistently refuse to arbitrate this point, which
seems to be the most important of all the questions involved.