his mask on as usual, and he was carrying a bunch of roses. When he saw me at the other end of the passage, he waved his hand to me and pointed to the flowers. I nodded to him, and then he went into the room.'
"These statements, as you may imagine, created a great deal of sensation; so much so, in fact, that Mr. Kidd, with his £10,000 and his reputation in mind, moved heaven and earth to bring about the prosecution of Mr. Dennis for theft and fraud.
"The papers were full of it, for Mr. Howard Dennis was well known in fashionable London society. His answer to these curious statements was looked forward to eagerly; when it came it satisfied no one and puzzled everybody.
"'Miss Knight was mistaken,' he said most emphatically, 'I did not bring any roses for Miss Morgan that night. It was not I that she saw in a blue domino by the door, as I was on the stage before the curtain was rung up for the second act, and never left it until the close.'
"This part of Howard Dennis' statement was a little difficult to substantiate. No one on the stage could swear positively whether he was 'on' early in the act or not, although, mind you, Macpherson had ascertained that in the whole crowd of supers on the stage, he was the only one who wore a blue domino.
"Mr. Kidd was very active in the matter, but Miss Morgan flatly refused to believe in her fiancé's guilt. The worthy jeweller maintained that Mr. Howard Dennis was the only person who knew the celebrated pearls and their quaint clasp well enough to have a fac-simile made of them, and that when Miss Knight saw him enter the dressing-room, he actually substituted the false necklace for the real one; whilst the loafer who drugged George Finch's beer was—as everyone supposed—only a dupe.
"Things had reached a very acute and painful stage, when one more detail found its way into the papers, which, whilst entirely clearing Mr. Howard Dennis' character, has helped to make the whole affair a hopeless mystery.
"Whilst questioning George Finch, Macpherson had ascertained that the stage doorkeeper had seen Mr. Dennis enter the theatre some time before the beginning of the celebrated second act. He stopped to speak to George Finch for a moment or two, and the latter could swear positively that Mr. Dennis was not carrying any roses then.
"On the other hand a flower-girl, who was selling roses in the neighbourhood of the Novelty Theatre late that memorable night, remembers selling some roses to a shabbily dressed man, who looked like a labourer out of work. When Mr. Dennis was pointed out to her she swore positively that it was not he.
"'The man looked like a labourer,' she explained. 'I took particular note of him, as I remember thinking that he didn't look much as if he could afford to buy roses.'
"Now you see," concluded the man in the corner excitedly, "where the hitch lies. There is absolutely no doubt, judging from the evidence of George Finch and of the flower-girl, that the loafer had provided himself with the roses, and had somehow or other managed to get hold of a blue domino, for the purpose of committing the theft. His giving drugged beer to Finch, moreover, proved his guilt beyond a doubt.
"But here the mystery becomes hopeless," he added with a chuckle, "for the loafer dropped the booty which he had stolen—that booty was the false necklace, and it has remained an impenetrable mystery to this day as to who made the substitution and when.
"A whole year has elapsed since then, but the real necklace has never been traced or found; so Mr. Kidd has paid, with absolute quixotic chivalry, the sum of £10,000 to Miss Morgan, and thus he has completely cleared the firm of Kidd and Co. of any suspicion as to its integrity."
(At this point you might try to solve the mystery for yourself.—Ed. Royal.)
CHAPTER III.
"But then, what in the world is the explanation of it all?" I asked bewildered, as the funny creature paused in his narrative and seemed absorbed in the contemplation of a beautiful knot he had just completed in his bit of string.
"The explanation is so simple," he replied, "for it is obvious, is it not? that only four people could possibly have committed the fraud."
"Who are they?" I asked.
"Well," he said, whilst his bony fingers began to fidget with that eternal piece of string, "there is, of course, old Mr. Kidd; but as the worthy jeweller has paid £10,000 to prove that he did not steal the real necklace and substitute a false one in its stead, we must assume that he was guiltless. Then, secondly, there is Mr. Howard Dennis."
"Well, yes," I said. "what about him?"
"There were several points in his favour,"
