On the eve of the annual local regatta, family rivalries are aggravated when the Callaghans inform the police that the Foleys are planning a salmon poaching trip.

A ship with a full cargo of rum runs aground near Skebawn. The locals engage in drunken revelry as the barrels wash ashore. Of course, the subsequent police search reveals practically no signs of rum.

Christmas Eve ends with the Yeates having an unfortunate carriage accident. An injured victim turns out to be Oweneen the Sprat, one of the villainous mountainy men who live in the hills. The Major's household is stricken with fear.

Flurry has challenged a visiting Indian polo team to a match and sold an incorrigible young filly to John Cullinane. The Maharajah and his team are vastly better than the Skebawn team, and the whole game goes a bit pear-shaped when John Cullinane's filly goes nuts, topples a goal post, and disappears with a horde of spectators in tow.

Trouble threatens when Flurry and Sally find out that Mrs. Knox wants to rent out their current home, Aussolas Castle, receiving a telegram from her informing them of the imminent arrival of a potential tenant from England.