 In the north, Mussolini declared that the monarchy had been overthrown and began to establish a new republican state, with himself as "Duce", but for practical purposes under the control of Karl Wolff and Rudolf Rahn.The Italian Social Republic had its seat of government in the town of Salò, so is commonly known as the Republic of Salo.Southern Italy, meanwhile, remained nominally under the control of the new legitimist government of Badoglio, continuing to operate as the Kingdom of Italy.