On his return to Athens he became a member of successive cabinets in various capacities, and rapidly collected a party around him consisting of those who opposed his great rival, Charilaos Trikoupis.
From this time forward, and particularly after 1882, when Trikoupis again came into power at the head of a strong party, the duel between these two statesmen was the leading feature of Greek politics.
[2] Diligiannis first formed a cabinet in 1885; but his warlike policy, the aim of which was, by threatening Turkey, to force the Great Powers to make concessions in order to avoid the risk of a European war, ended in failure.
For the powers, in order to stop his excessive armaments, eventually blockaded the Piraeus and other ports, and this brought about his downfall.
He returned to power in 1890, with a radical programme, but his failure to deal with the financial crisis produced a conflict between him and the king, and his disrespectful attitude resulted in his summary dismissal in 1892.