While Elf Duncan gets to know Elf Boldo and the other Red Elves, he gets settled in the warren beneath the Tower of London Where the Red Elves live. The Red Elves do not know that Duncan is a lowly Blue Elf because he’s wearing the Gold Elf uniform he slipped into while he was on the Grand Sleigh. Back in Santopia, Santa Pops and the White Sage tell Santa the truth about Noelle, and that the White Sage’s Prophecy dictates that the newborn Prince Nicky will grow up to marry the peasant girl, Noelle, and not the Baroness von Drear’s newborn daughter, the Princess Dazzle. Santa has to decide how to handle Spicata and Noelle’s newly arrived parents, Taraxa and Inula. In London, a new Ravenmaster is being installed, and Elf Boldo worries because this new Yeoman Warder has been brought in from the outside and hasn’t been treated with Spirkle Spirtles, the magic dust the Elves treat humans with so humans can’t see them. Boldo has a plan to deal with the new Ravenmaster, Skatole, but Elf Duncan does what he does best—cause mischief—and Boldo’s plans are ruined. One of the black ravens in the Tower, Gwylum, also proves to be a problem the Elves must deal with.