Cynthia tries to bribe his colleague, Mrs Sheridan, but to no avail, as she believes Nesta's influence has spoiled the boy.
After they have gone, Nesta reveals to Cynthia Ogden's past as the 'Little Nugget', and the repeated attempts to kidnap him made by US gangsters.
We meet Peter Burns, and learn that he fell deeply in love, sometime between the ages of 21 and 25, with a Miss Audrey Blake, daughter of an impoverished artist.
This event crushed Burns, once a carefree and selfish youth, and after some years of travel he returned to London chastened, and became engaged to Cynthia Drassilis mostly out of sympathy for her plight.
The following day, another American visits the school, a pleasant man claiming to be a friend of Mr Ford, who soon leaves again having toured the place.
An excited crowd gathers to discuss the incident, a man found breaking into Ogden's room, when Mrs Sheridan appears, for an appointment with Abeny; Burns quickly sees that she is in fact his former fiancée, Audrey.
Burns questions White about these men, and learns that while Buck a common hoodlum, Fisher is an educated and dangerously smooth man.
We learn that Burns has bribed Ogden to go to London, and arranged to have his valet send the boy to his mother Nesta Ford.
Abney the headmaster, sick in bed with a cold, learns that the butler is a detective and sends him on the trip to London with Burns.
Ogden is moved to a safe room, and guarded; Burns' relationship with Audrey chills after he is reminded he is engaged, and he foils another attempt by Fisher to take the boy.
Mrs Drassilis reveals that Cynthia has fallen for Lord Mountry, and Burns gives them his blessing, releasing her from the engagement.