In America, at the turn of the twentieth century, Norwegian immigrant Johann Tonnessen is a successful farmer.

He rules the town and owns a shipyard, which he intends to hand down eventually to his beloved young son Olaf, who is obsessed with America and the Wild West.

Bernick promises to tell Dina this, but before he has a chance, Betty scolds her for taking Olaf to the circus, where they both spent time with Johann.

Dina runs back to the circus, where she reveals to Johann that Bernick has also been telling the entire town for years that Johann embezzled a large sum of money from Bernick's company, before leaving for America twenty years before.

Bernick admits he felt the lie about the embezzlement was necessary to cover his own business failures and maintain his place in society until he could rebuild his fortune.

Terrified of being revealed as a liar, Bernick arranges for the ship Johann and Dina plan to sail on to depart overloaded, in the middle of a serious storm, hoping it will sink.

Meanwhile, young Olaf secretly stows away on the ship, desperate to see America with his uncle Johann and Dina, since he has been dreaming of it his whole life.

Johann goes out in a boat with local fishermen to rescue people from the sinking ship and succeeds in saving Olaf.