Pat buys a nearby dilapidated Ghost Town at a tax auction and soon discovers the town comes with an equally dilapidated old squatter named Webb Jenkins. While looking around, Pat soon discovers that Jenkins found a large trove of counterfeit gold pieces in a mine on the property. When he tells Roy and Dale of his discovery, they soon suspect that they found the old hideout of a pair of bandits who were wanted for a bank robbery from years before.

When the owner of a travelling carnival is found murdered, Dale, Pat, and Roy help Sheriff Blodgett investigate what happened. It doesn't take long for them to discover the prime suspect: a young cowboy who had a bullwhip act in the carnival who was wooing the carnival owner's daughter. However, after talking to the young man, Roy suspects that he might be framed and that there were several people employed by the carnival that had grudges with the owner, and has to figure out who is the actual murderer.