Suddenly Nancy tensed. Sharp flashes of light were coming from the room where the bull's-eye window was. Apparently a mirror was being used to reflect sunlight.

Nancy watched intently to see if anyone would appear at the window, but no one did. "Maybe the pane is too high from the floor," she thought.

The young sleuth could well believe that something strange was going on inside the big stone house and even that someone was signaling for help. Her mind conjured up all sorts of possibilities about a prisoner who was bound and gagged in the room.

"I certainly can make a deep, dark mystery out of almost anything," she chided herself with a smile as she moved away. Nancy realized she had been gone from the cottage for some time and no doubt the other girls were eagerly awaiting her return so they might all go to town to start their investigating.

When Nancy arrived at the cottage, she heard Niko's hit record being played and realized Cecily must be using the cottage owner's phonograph.

"Sounds better than it did last night," Nancy thought, walking in. She mentioned this to the others.

Cecily said it was her very own record which Niko had given her. Nancy, curious, went for her disc and put it on the player. It was good, but definitely not so clear-cut as the other.

"It does sound different," Cecily conceded. "Not so sharp. Sometimes it seems a bit fuzzy."

Nancy picked up the two records and compared them. Although at first glance they looked exactly the same, she noticed that the label on hers was paler than the other.

"These records have the same serial number," said Nancy, "but it's just possible the one I bought last night is a pirated recording."

"You mean," said Bess, her eyes opening wide in astonishment, "that someone is forging Niko's records and selling them?"

"It's possible," Nancy answered. "I think we should ask Eddie where he bought this supply of records. Also, I think you, Cecily, should telephone Niko's record company and tell them."

Nancy said she had still another suggestion. "Let's drive on to the county seat at Ridgeton. One of us can go to the courthouse and trace the ownership of Pudding Stone Lodge as far back as possible."

The other girls were ready, so as soon as Nancy showered and dressed for town, they set off. As they were driving past Henry Winch's dock, they saw the stocky man coming out of the rear of his store with a suitcase and an armful of clothes.

"He's leaving!" George exclaimed.

Nancy stopped and asked him if this were true and he said Yes, indeed-he was not going to stay in that haunted spot another night. She urged him not to be hasty, saying she was sure the girls would get to the bottom of the launch mystery soon.

"I sure wish you could," he answered. "I tell you it would save this lake as a summer resort."

Nancy smiled. "After all, Mr. Winch," she said, "no harm has come to you. Why not wait a few days? We're not far away if you need help."

"Well, I'll think about it," he said. "Maybe I won't go right now."

"I'd like to rent a canoe from you," Nancy went on. "I may want to inspect that phantom ship at close range."

A wild look came into Mr. Winch's eyes. "Don't, Miss Drew! It ain't safe! I'll leave a canoe at your cottage, but you'd better think twice, young lady, before you go up in that foggy area."

"All right, I will," Nancy promised.

When they reached the main road, Nancy stopped the car. "The county seat is to our left, and Misty Lake to our right. Why don't we go to Ridgeton first and see about an ironmonger, then stop at Eddie's on the way back?"

This was agreed upon and Nancy turned left. As they rode along, she told about the flashing light from the bull's-eye window of Pudding Stone Lodge. George said, "I believe it was just the sunlight glinting on the glass."

Cecily and Bess were inclined to think there was more to it, but could offer no explanation which Nancy had not already thought of.

When they reached the county courthouse, George offered to do the research work and try to find the identity of the original owner of Pudding Stone Lodge.

"Good," said Nancy. "Bess and I will inquire about an ironmonger while Cecily phones the record company."

The girls separated. Nancy made several inquiries and learned that a Mr. Finnerin was the present owner of an ironmongering establishment which had been in town for over a hundred years. The business was housed in a small building on a very narrow cobblestone street.

Mr. Finnerin said that unfortunately his old ledger had been destroyed by fire and he personally had no knowledge of the sale of any iron bird to Pudding Stone Lodge.

"But why don't you look around at some samples of our old-time work?" he suggested. "Maybe it will help you."

The company had set aside one room of old and new products. The antique birds included cranes for the garden, and owls and eagles for roof cornices and door knockers.

"This is probably the type of thing we should look for," Bess whispered to Nancy, and her friend nodded.

The girls thanked Mr. Finnerin and walked back to a tearoom where the four girls had arranged to meet for luncheon. After they gave their orders, each told what she had found out. Cecily had still been unable to reach either Niko or the Waynes. She had had a talk with an official of the record company, however, and he had asked that someone bring the two records to their office in Baltimore.

"They're very much interested in your theory of piracy, Nancy," she said. "I think you should be the one to go."

"I'd be glad to. But let's decide tomorrow."

George said she had learned that the original owner of Pudding Stone Lodge was Andre Delaroy and it had been built in 1825. His two sons were Simon and William. She smiled at Cecily. "It sure looks as if Pudding Stone Lodge was really your ancestor's home."

Cecily was greatly excited, and listened intently as George went on, "The property was inherited by Simon Delaroy's only child, Ann. She married a Wayne."

"Oh, George, that's wonderful!" Cecily said, her eyes dancing. "We are looking in the right place for the iron bird! Just think! The old family treasure must be buried some place at the lodge. As soon as we finish eating, let's go back and make plans."

"But first we must stop at Eddie's Soda Shop," Nancy reminded her, "and find out the name of the jobber who supplied him with Niko's records."

When they reached the shop, Nancy suggested that they purchase some candy and nuts so that Eddie would not be suspicious. As he was filling the order, she asked casually, "By the way, Eddie, who supplies you with records?"

The soda-shop owner grinned. "I suppose you mean Niko's hit. I can get all you want. They come from a local jobber. His name is Neal Raskin."

"I don't need any more right now, but when I go home-" Nancy left the sentence unfinished. Quickly she consulted a telephone directory and found that Raskin's office was located near town, on the highway.

As the girls walked toward the car, Nancy said, "Cecily, why don't we drop you and George at Neal Raskin's office while Bess and I search again for the iron bird?"

"You'll come back to pick us up?"

"Yes."

Cecily said she was torn between two desires-to hunt for the bird and to help Niko. She finally agreed to go with George and find out more about the record.

Nancy and Bess drove off. "We'll leave the car at the cottage," said Nancy.

When they reached it, the girls were surprised to see a note tacked to the door. It said: Come to lodge. Bird is found.

K. Driscoll

CHAPTER VIII.