"It is very kind of you to offer," Mrs. Dillon returned, flattered. "I will meet you at the studio at one o'clock and after luncheon we'll go to the bank together."

Penny had reached the foot of the stairs. The two were so engrossed in their conversation that they were unaware they were blocking the path.

"I beg your pardon," she murmured suggestively.

"Oh, I'm so sorry!" Mrs. Dillon exclaimed, moving hastily aside.

Penny gave no hint either by look or action that she had overheard the conversation, but inwardly she raged at Hanley Cron's cutting reference to her father's ability. She slowly climbed the stairs. At the first landing she glanced back over her shoulder and noticed that the art critic was staring after her. His expression startled her.

"How that man does hate me," she thought. "And all on account of a ruined fender. It's too ridiculous!"

Penny had observed during the evening that Mrs. Dillon and Hanley Cron danced frequently together. Apparently, the society woman was flattered by the man's attention, although Penny was at a loss to understand how anyone could consider him attractive. It seemed to her that the art critic deliberately was trying to ingratiate himself with Mrs. Dillon.

She considered the luncheon invitation which Cron had extended to his hostess. While it might have no significance, it tended to confirm her belief that the man was trying to gain the society woman's favor. She wondered, too, why he appeared so eager to accompany Mrs. Dillon to the bank.

"I don't believe it's because he wants to be generally helpful," she told herself shrewdly. "Hanley Cron simply isn't that sort of person!"

As she stood before the bedroom mirror Penny reflected upon what Cron had said about her father. Not reliable indeed! It was evident that the man deliberately was endeavoring to undermine Mr. Nichols'

professional reputation.

Unexpectedly, Penny caught a glimpse of her face in the mirror and laughed because she looked so tense and worried.

"There's no use to take it so seriously," she advised herself. "I've merely learned that Hanley Cron may prove to be a dangerous enemy."

CHAPTER VIII

A Bold Move

A few minutes later as she was driving home with her father, Penny repeated to him the conversation which she had overheard between Hanley Cron and Mrs. Dillon. The detective smiled at the slighting reference made by the art critic but looked disturbed when he learned of the luncheon engagement.

"Before she gets through, Mrs. Dillon will have informed everyone that she is taking the necklace to the vault tomorrow," he said impatiently.

"If she ends up by losing the pearls then perhaps she'll know better next time."

Mr. Nichols stopped at the police station for a few minutes to leave the revolver and the bullet which he had retrieved from the ballroom wall. When he returned to the car Penny questioned him regarding the holdup men.

"Have they been captured?"

"No," he replied in disgust, "they got away."

It was long after midnight when they reached home. Penny would have liked to remain up awhile to discuss the exciting events of the evening but Mr. Nichols was too sleepy to be in a talkative mood. He hurried his daughter off to bed.

"I think I'll visit Amy Coulter sometime to-day," Penny remarked the next morning at breakfast. "What I saw last night convinced me that she could have no part in the theft of the painting."

"The picture in Mrs. Dillon's possession doesn't prove anything," Mr.

Nichols replied as he pushed aside his coffee cup. "The painting may be a fake. Or if it's genuine this girl may have been one of a gang who negotiated the deal with Mrs. Dillon."

"If you met Amy you'd understand that she isn't the criminal type, Dad."

"And just what is the criminal type? Give me a definition."

Penny threw down her napkin impatiently. "Oh, there's no use arguing with you! You always win!"

"I'm not suggesting that your friend Amy is a crook," the detective smiled. "I'm merely trying to teach you to think and not to arrive at conclusions through impulse or emotion."

After the morning's work was done, Penny telephoned Susan Altman to tell her about the Dillon party. Susan was not at home so she walked to Amy Coulter's rooming house where she was admitted by the landlady.

"I'm so glad you came," Amy cried joyfully as she admitted the girl.

"I took your advice and shut myself up here in my castle, but it's been dreadfully lonesome."

The young sculptress had been working on a small statue. After Penny had admired it, she covered the figure with a cloth and set it away.

"I'm worried about my Black Imp," she confessed, offering Penny a chair. "This morning a notice appeared in the paper that all contestants for the Huddleson prize should call within twenty-four hours at the Gage Galleries for their entries. I'm afraid to go for fear I'll be arrested."

"It wouldn't be safe," Penny agreed, "but if we're patient for a few days longer I believe the mystery may begin to clear up. In fact, I have an important clue already."

She then told Amy how she had discovered the Rembrandt in Mrs. Dillon's library. The girl was overjoyed to learn the news for she felt that the recovery of the painting would exonerate her. However, her face clouded as Penny mentioned that the picture might be a fake.

"If I were certain the picture was stolen from the museum, I'd go directly to the police," Penny declared, "but until I am sure I must move cautiously."

"I wish I could see the painting. I feel confident I could tell if it's a fake."

"I wish you could examine it," Penny said, frowning thoughtfully.

"Unfortunately, I don't see how it can be arranged--unless----"

"What?" Amy demanded quickly.

"Mrs. Dillon would never permit us to see the painting if she could prevent it. We'd have to get into the house without her knowing it."

"How could we ever do that?"

"I have an idea, but there would be a certain amount of risk to it.

Are you willing to take a chance?"

"If it isn't too great a one. I couldn't get into a much worse situation than I am now. The police probably will arrest me upon sight anyway."

"This is the plan," Penny explained. "I happen to know that Mrs.

Dillon will be away from the house at one o'clock today for she's lunching with Hanley Cron. While she's gone we'll look at the picture."

"But the servants will be there," Amy protested.

"I think I can arrange it so they won't be suspicious. Do you want to try it?"

Amy hesitated only an instant before nodding her head. "I've nothing to lose and a great deal to gain," she said.

Penny glanced at the little ivory clock on the dresser. It was nearly noon. By the time the girls reached Mrs. Dillon's home the woman should be away.