Scooby and Shaggy go to see a scary film while dropping off Shaggy's baby sister at the sitters, but they are horrified when they find the sitter is hideous. What's worse is that the monster movie character has come to life and an escaped convict is on the loose.

Fred, Daphne, and Velma help Shaggy and Scooby clear their names when they're framed for stealing a bunch of Japanese swords with a curse that attracts a Samurai Warlord Ghost and encounter the ghost at the same time.