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The Federation's doubling-down on increased public and private surveillance caused a wave of discontent to ripple through Federal systems within Shadow President Winters's sphere of influence, culminating on June 29, 3307 with Mayor [[Constanza Noguera]] of the Azaladshu Free faction proclaiming the secession of the four systems under its control: Azaladshu, LHS 277, LTT 3919, and LFT 824.<ref>[https://community.elitedangerous.com/galnet/uid/60db0b9122e29a28d731c813 GalNet: Four Federal Systems Declare Independence]</ref> President Hudson charged the Federal loyalist faction Neche Inc with containing the [[Federal Rebellion of 3307|rebellion]] on July 1, but Azaladshu Free defeated Federal forces and secured its independence on July 8. Three other Federal factions were inspired to secede as well: the Coalition of Uteran, which controlled Uteran and Ga'anjob'al; LP 726-6 Free, which controlled LP 726-6 and Aunochis; and Gluscap Labour, which controlled Gluscap and V902 Centauri. This embarrassed not only Hudson, who failed to quash the rebellion, but Winters, who was accused by some of orchestrating the secession due to her vocal opposition to the new surveillance measures.<ref>[https://community.elitedangerous.com/galnet/uid/60ddcacff026382a6d0865e9 GalNet: Federation Battles Independents in the Azaladshu System]</ref><ref>[https://community.elitedangerous.com/galnet/uid/60e6e7816d8ad419973f01df GalNet: Independence Spreads from Azaladshu System]</ref> The Azaladshu affair emboldened other Federal factions to also weigh abandoning their fealty, and by July 21, it was reported that the FIA was arresting independence-minded leaders on spurious charges to contain the situation.<ref>[https://community.elitedangerous.com/galnet/uid/60f82834f353e248204f2416 GalNet: Federation Threatened by Further Secession]</ref> Governor [[Sonal Mishra]] of New Kuwembaa Labour withdrew his five systems from the Federation on July 30, and three other factions also threatened to follow.<ref>[https://community.elitedangerous.com/galnet/uid/6103e094cbe3fa74ee0ddc6e GalNet: Rebellion Spreads Across Federal Systems]</ref> On Hudson's orders, Li Chotep for Equality engaged New Kuwembaa Labour in battle in the Kuwembaa system on August 5, but was again stymied by the rebel forces and decisively lost on August 12. New Kuwembaa Labour remained independent and the factions Selkana Labour, United HIP 108095 Values Party, and Mutumu Future also decided to break away, bringing the total number of seceded Federal systems to 37.<ref>[https://community.elitedangerous.com/galnet/uid/610be2390e80ab3bc4372348 GalNet: Federal Forces Combat New Rebellion]</ref><ref>[https://community.elitedangerous.com/galnet/uid/61151cab43500b703a6d3edd GalNet: Victory Against Federation for Independent Factions]</ref> A third wave resulted in the secession of seven more factions on September 13, but none of these factions controlled any systems.<ref>[https://community.elitedangerous.com/galnet/uid/613f3d4bc31cf61ae31cda95 GalNet: Rebellion Spreads Through the Federation]</ref>
Meanwhile, the [[Delta Pavonis]] system, one of the Federation's five founding members, was overtaken by the independent faction Autocracy of Delta Pavonis on August 12. Rather than go to war to reclaim the symbolically important system, the Federation opted to pursue a diplomatic solution. On September 17, Federal Ambassador [[Delphine Dumont]] and [[EG Pilots]] Dictator [[Yuri Grom]] arrived in Delta Pavonis for a conference with Grand Duke [[Simion Petrescu]] to determine the system's future allegiance. This marked the first formal meeting between Federal representatives and Grom since the latter's defection in 3301.<ref>[https://community.elitedangerous.com/galnet/uid/6144868d80ba29040f2bbdd4 GalNet: Delta Pavonis Hosts Political Conference]</ref> By September 24, negotiations had surprisingly produced a potential compromise deal in which the Autocracy of Delta Pavonis would remain independent, but maintain trade and political ties with both sides.<ref>[https://community.elitedangerous.com/galnet/uid/614dbf3b10d993146c5fbd1e GalNet: Progress Between Federation and Yuri Grom]</ref> However, undercover Federal agents suddenly attempted to detain Grom on September 30; Grom narrowly escaped, and when he returned to his megaship, the Indomitable, he found his forces were already under attack from the Federation. President Hudson later confirmed that the Federation continued to view Grom as a traitor and security threat, and had sought to capture or eliminate him at the conference. Grand Duke Petrescu denied that his faction had any involvement in the Federation's plot.<ref>[https://community.elitedangerous.com/galnet/uid/6155b717ad7f731bc054e57d GalNet: Yuri Grom Targeted by Federal Strike]</ref> On October 4, 3307, the Federal Diplomatic Corps denounced Hudson's violation of the conventions of diplomatic immunity, and Ambassador Dumont apologised to Grom.<ref>[https://community.elitedangerous.com/galnet/uid/615aec709ec24f4f7d51a8eb GalNet: Ambassador Condemns Entrapment of Yuri Grom]</ref>[[File:Felicia Winters.png|thumb|Felicia Winters won the presidential election in 3309]]
The superpowers agreed to shut down Aegis on January 18, 3308 per the recommendation of the [[Paul Baumann|Baumann Report]], which had found that Aegis was no longer able to effectively carry out its anti-Thargoid responsibilities. At the request of Fleet Admiral [[Tayo Maikori]], Federal Congress ordered the creation of a new, anti-xeno military strike force that would operate under the Federal Navy and assume Aegis's role in defending the Federation from Thargoid attacks.<ref>[https://community.elitedangerous.com/galnet/uid/61e6ba29f6b3cd47d1758763 GalNet: Superpowers Plan to Replace Aegis]</ref>
President Hudson courted controversy yet again on February 4, 3308 by proposing the [[Hudson Contravention]], a measure to repeal the 77th amendment of the Federal Accord, which would lift term limits from the presidency and allow Hudson to run for a second term in the June 3309 election. The President and his supporters claimed his steady leadership was needed to guide the Federation through a series of ongoing and potential crises, but the proposal was condemned by Winters and former presidents Jasmina Halsey and [[Antonia Madison]].<ref>[https://community.elitedangerous.com/galnet/uid/61fcedaa0d077c1bf936a08e GalNet: Hudson Attempts to Remove Presidential Limit]</ref><ref>[https://community.elitedangerous.com/galnet/uid/620b988f5b9f5e24ee291872 GalNet: Federation Divided by Hudson's Proposal]</ref><ref>[https://community.elitedangerous.com/galnet/uid/6220d3c75955060ad213c88d GalNet: Hudson Refutes 'Dictatorship' Concerns]</ref>
[[Felicia Winters]] won the presidential election in October 3309 and succeeded [[Zachary Hudson]] on 31 Oct 3310.<ref name=":10">President Winters Assumes Office - 31 Oct 3310 - Galnet - Elite Dangerous -https://www.elitedangerous.com/news/galnet/president-winters-assumes-office</ref> [[Isolde Rochester]] serves as the Vice President. [[Jerome Archer]] became the [[Shadow President]].<ref>Archer Outlines Shadow Presidency Future - Galnet - Elite Dangerous website - 04 DEC 3309 https://www.elitedangerous.com/news/galnet/archer-outlines-shadow-presidency-future</ref>
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