As Basil Jerome left the office of Scott & Rand he came face to face with a thickset, florid-faced man and a slender, dark-eyed youth, who had just stepped from the elevator.

"Howdy do, Mr. Jerome! Is it yourself?" said the man, with just the slightest hint of an Irish brogue. "It's a bit glum you're looking. Anything wrong?"

"How do you do, Mr. Hagan," responded Jerome. "Didn't know you were in town. Haven't seen you for months."

"I've been moving around a bit, but I'm back again, large as life and just as natural. Saw you coming out of Old Gripper's den. I'm bound there myself, for I understand there's a little matter going on in which I'm a trifle interested."

"You don't mean that Mexican railroad affair, do you?"

"Why, yes, me boy, that's it; but how did you guess so quick?"

"I was invited to take a hand in that myself, but I prefer to keep out. In the manner they propose to do it, I want none in mine. If you're thinking of butting in, take my advice and stay out."

"As a friend, would you mind telling me why? You have aroused me curiosity."

"If you investigate closely I fancy you'll find out why, Hagan. This youngster, Merriwell, who is promoting the scheme, is altogether too finicky about the manner in which the deal shall be financiered. He's old-fashioned in his ideas of honesty and business methods. How Old Gripper can swallow him is more than I can understand, and Gripper has inveigled Warren Hatch and Sudbury Bragg into it. Keep out, Hagan—keep out."

Hagan laughed.

"Thank ye for the advice," he said; "but I have a little trick of my own to turn with those gentlemen. I'm glad to know I'll find them all ready for me. Don't worry about Bantry Hagan. He seldom gets left. So-long, Jerome."

Hagan passed on, with the dark-eyed youth at his heels, and entered the office of Scott & Rand.

The four men left in the private room were settling down to business when the office boy appeared and announced that Mr. Bantry Hagan wished to speak with Mr. Scott at once on very important business.

Old Gripper seldom betrayed astonishment, but he could not conceal it now. There was likewise indignation in his face and voice as he exclaimed:

"Hagan? That man here? Why, confound his cast-iron cheek! how dare he show his face in my office! What do you think of him, Merriwell?"

"It's just what I should expect of him," declared Merry. "He has gall enough for a regiment."

"Many thanks for your fine opinion of me," said the voice of Hagan himself, who had boldly followed the boy. "It's you, Mr. Merriwell, I'm wishing to chat with, too, and I'm lucky to find ye here with Mr. Scott. And here are Mr. Bragg and Mr. Hatch! Come right in, Felipe."

The somewhat shy-appearing youth of the dark eyes followed him into the room as he pushed the office boy aside.

By this time Watson Scott was on his feet, his face dark as a storm cloud.

"Bantry Hagan, you scoundrel," he cried, "how dare you show yourself to us!"

"Now, Mr. Scott; don't excite yourself," said the intruder. "You are said to be a man with iron nerves, but your behavior this moment belies your reputation. Why shouldn't I show myself to you?"

"You know well enough, you villain! You know there is a warrant for your arrest now in the hands of the sheriff of Essex County."

"And I also know the sheriff of Essex County is not here to serve it. I further know he never will serve it."

The cool assurance of Hagan was almost staggering.

"It's an easy matter to swear out another warrant here in this city, and Mr. Merriwell is just the man to do it."

"Mr. Merriwell is just the man not to do it. Were he to take so much trouble, what would he prove against me?"

"He could prove that you were concerned in a dastardly attack upon him up in the Adirondacks, being at that time the worthy associate of Porfias del Norte, who came to a well-merited death, together with two other ruffians, by being buried by a landslide."

Hagan grinned.

"It would be easy enough to make such a charge, but quite another matter to prove it. Who could appear as witnesses against me? Could you swear, Mr. Scott, that I had anything whatever to do with this matter of which you speak? No? Well, certain it is that your trusted private secretary, Belmont Bland, will never appear to furnish evidence for any one, nor will O'Toole. It is easy enough to have any man arrested, but proving him guilty is quite another matter."

"It's a shame, Hagan," said Frank, "that you were not in the cave with Del Norte when that landslide occurred."

"That's the way you look at it, me boy," nodded the Irishman; "but I have a different feeling about it, and I thank the saints that I was spared. I fancy you thought yourself well rid of all your troubles when Del Norte met with that little misfortune, and you're now ready to go ahead with your great railroad scheme. But before you lead these gentlemen into it I have a little revelation to make that may interest them and you a bit."

"Say the word, Merriwell, and I'll have the man kicked out," growled Watson Scott.

"Let's hear his revelation," suggested Frank, "and then he may have the decency to take himself off of his own accord."

"Now you are coming to your senses," chuckled Hagan. "When you have heard what I'm going to tell ye it's in no hurry you'll be to have me go without a little understanding and agreement between us. Porfias del Norte had a plan of his own that bothered you some, for he convinced you that he was the rightful heir of Guerrero del Norte, who years ago had obtained an extensive land grant in Eastern Sonora, and on this land claimed by him your San Pablo Mine is located. Del Norte had parties working in Mexico to obtain a reaffirmation of that old concession. With Del Norte dead and gone I fancy you thought your troubles ended. Me boy, you were wrong. Although you did not know it, old Guerrero was not the only one who obtained concessions in Eastern Sonora."

"What's the man driving at?" growled Scott. "Is he here with another cock-and-bull story about land grants?"

"It's no cock-and-bull story you'll find it," asserted the Irishman. "The grant to old Guerrero, Porfias del Norte's grandfather, was made by President Pedraza in 1832. Am I not right?"

"What if you are?"

"It means a great deal to Mr. Merriwell, as I will demonstrate. I have lately learned that there was an earlier claimant to that same territory. The first Mexican republic was organized in October, 1824, with General Don Felix Fernando Victoria as president. You are quite familiar with Mexican history, Merriwell, me boy. Am I correct in this statement?"

"You are."

"Very well. Now I'm coming to me point. One of General Victoria's chief assistants, and a gallant officer in his army, was Colonel Sebastian Jalisco. As a reward for this man's services, when Victoria became president he granted him a great tract of land in Eastern Sonora, covering practically the same territory as that afterward conceded to Guerrero by Pedraza. This grant of Victoria's was never revoked or annulled, and therefore Jalisco was the rightful claimant to it all the while. Jalisco was ill for many years of a mental derangement, and neither he nor his heirs ever disputed Guerrero's right to the territory. Later, however, as you know, President Santa Anna revoked the Guerrero grant. The one made to Jalisco has never been revoked, and it holds good to-day. It happens that chance has thrown me in with Colonel Jalisco's only surviving heir, his great grandson, and this, gentlemen, is the boy."

Hagan waved one of his square hands toward his dark-eyed companion.

He had thrown a bomb into the meeting, and he smiled to see the havoc it created.

Warren Hatch was on his feet, while Sudbury Bragg had leaned forward on the square table, resting on his elbows, his jaw drooping. Watson Scott grasped both arms of his chair and leaned forward as if to rise, but did not get up.

Of them all Frank Merriwell was the only one who did not seem thunderstruck.

"Who is this boy, Hagan?" he asked.

"The great grandson of Colonel Jalisco, I have told you. His name is Felipe Jalisco, with a whole lot of fancy middle names thrown in."

"We have your word for it, but it takes something more than the mere word of Bantry Hagan to cut any ice."

"Does it, indeed, me lad?"

"It does."

"Then you shall have something more. In fact, Mr. Merriwell, I fancy I can give you all you require. What do you want?"

"Proof."

"Felipe can establish his relationship beyond the doubt of the most skeptical."

"But the old land grant to Felipe's great grandfather——"

"Is in me possession!" cried Bantry Hagan, as he dramatically produced a yellow parchment-like document and waved it triumphantly above his head.

He laughed aloud as he surveyed the men before him, but never a smile came to the dusky face of Felipe Jalisco, his companion.

"Gentlemen," he said, "before you set about building any railroads through that part of Sonora I advise you to transact a little business with me. It will save you lots of trouble later on."

"Will you permit us to examine that document?" asked Frank, still with perfect self-possession.

"On your word of honor as a gentleman—which I know ye are—to return it as soon as you have made the examination."

"You have the pledge," said Merry, stepping forward.

Hagan unhesitatingly handed the document over to Frank, who immediately spread it out upon the table.

The others pressed about Merry to obtain a look at the paper.

"The dashed thing is in Spanish!" gurgled Sudbury Bragg, in disgust.

"Of course it is," nodded Hagan.

"I can't read it," admitted Bragg.

"But I can," said Frank.

He hurriedly yet keenly scanned it through, inspecting the signature and seal, and finally straightened up with it in his hand.

"Gentlemen," he said quietly, "the document seems to be genuine."

"Seems to be?" said Old Gripper. "Then you think there may be a doubt about it?"

"There may be."

"But there isn't!" cried Hagan. "It's all right. Now, Merriwell, me boy, perhaps you'll not disdain to do a bit of business with Bantry Hagan."

Frank refolded the paper and returned it to the Irishman.

"What are you after?" he asked.

"Money, me lad—money. Of course Felipe Jalisco might raise a fuss and make you no end of trouble; but I have talked the matter over with him, and he is willing to surrender his claim to the concession made to his great grandfather in case he is well paid. You are rich, Merriwell; you have been making a fat thing out of your mines, and you can afford to pay. We have settled on a price, and we'll take not a dollar less. Either you'll come to our terms, or we'll cut the ground from under yer and leave you nothing but empty air to stand on."

"What is your price?"

"Five hundred thousand dollars!"

"Quite modest!" said Merry sarcastically.

"Will you pay it?"

"Not a dollar of it!"

Hagan was set back, for he had fancied the youth weakening.

"Not a dollar?" he repeated, in astonishment. "Do ye mean it?"

"I always mean what I say."

"But—but you're crazy!"

"I think not."

"It's the devil's own broil ye'll find yourself in if you refuse."

"Then I'm certain to have a lively time, for I utterly and absolutely refuse to give up a dollar."

"You just said the document was genuine."

"I beg your pardon; you misunderstood me."

"I heard you say so!"

"I repeat, you misunderstood me."

"Then what did you say?"

"I said it seemed to be genuine."

"But you doubt if it is?"

"I do."

"How can ye?"

"There are various things which lead me to doubt."

"Will you name them?"

"I don't mind naming some of them."

"Do so."

"In the first place, before investing heavily in the San Pablo Mine, I took the trouble to investigate thoroughly the solidness of my title to the property, knowing how insecure most titles are in Mexico. I overhauled old records and probed into history. I found out all about the grant of President Pedraza to Guerrero del Norte. I found the concession had been reaffirmed by Santa Anna when he first received the presidency, and I afterward found that, later on, because old Guerrero preferred to remain a bandit and a plunderer, Santa Anna had revoked and annulled the grant."

"Well?"

"Well, that left me no doubt whatever in regard to the legality of my title. In all my investigating I found no record of any grant to Colonel Sebastian Jalisco. In all my probing into the history of Mexico and her struggles to rid herself of the Spanish yoke I am certain I found no mention whatever of any such person as Sebastian Jalisco, who held in the patriot army the commission of colonel. In short, Bantry Hagan, I do not believe any such person as Colonel Sebastian Jalisco ever existed!"

As far as Frank Merriwell was concerned, the bomb hurled by Hagan had missed the mark completely.

In spite of himself, Hagan was staggered by the bold stand of the youth that nothing could daunt. Not only was he staggered, he was enraged.

"It is a wonderful knowledge of Mexican history you have, me boy!" he cried. "But you're due to find out that you don't know near as much as you think you do. This poor boy has a claim to property you are holding and working, and as true as me name is Bantry Hagan, I'll see that he gets his rights!"

"Go ahead," said Frank quietly. "It's not the boy you are looking after; it's Hagan, and I can give you my opinion of Hagan in a very few words. From his toes to the hair on his head he is a thoroughbred rascal."

"Your talk is very bold, but you'll come down before we are done with you," snarled the Irishman, in exasperation. "I'll bring you to your knees and have you begging."

"I have no fear of that. You have taken up altogether too much of our time. Will you have the decency to retire and let us go on with our business!"

It was not a request; it was a command.

Hagan's belligerent nature was aroused, and it seemed that he was inclined to remain and create further annoyance. From Frank he turned to the others.

"Gentlemen," he cried, "you have heard our claim and you have seen the document by which we propose to back it up. If you know anything of Bantry Hagan, you know he enjoys a good fight and he sticks to a thing to the bitter end. I propose to stick to this thing. In the end this boy will secure his rights, and Merriwell will not hold one inch of property in Mexico. But let me give you warning that if you attempt to build that railroad you will find yourselves involved in a matter that will cost you more money than you can count in a week. In the end you will meet disaster. Before you go any further, either you or Merriwell must settle with Felipe Jalisco."

Then he stepped toward the Mexican lad, on whose shoulder he placed a hand, observing:

"You have heard, Felipe; the man who is usurping your rights refuses to do you justice, and proposes to continue robbing you."

The black eyes of the boy flashed.

"I will have my rights!" he exclaimed, in good English. "Either he shall pay me or he shall die! I will kill him!"

"Softly, my lad! Don't make such threats before witnesses, for it is bad business."

"It is what I mean!" shouted the boy, who had suddenly grown greatly excited.

He flung off Hagan's hand, and sprang out before Frank.

"You rob me!" he panted. "Pay me—pay me, or I kill you!"

"Better take him away, Hagan," said Merriwell, "or I'll turn him over to the police, which I do not care to do."

"He's dangerous, if he is young," said the Irishman. "I'm afraid you'll be sorry you did not listen to his demand for justice."

"If there were a grain of justice in his demand I would be ready enough to listen," returned Merriwell. "You are behind this business. Having failed in your other project, through the death of Del Norte, your fertile brain has originated this daring, yet foolish, scheme. Do you think you are dealing with children? Did you fancy you could frighten or browbeat me into paying you money before I had thoroughly investigated this Jalisco business and sifted it to the bottom? Why, you know that were you in my place you would not give up a dollar on such a demand. Take him away, Hagan, and be quick about it, or I swear I'll telephone the police and have you both arrested for attempted fraud!"

That Frank was in earnest now there could be no doubt.

"We'll go," nodded Hagan. "Not because we are afraid of the result should you have us arrested; but we know your power—you and the men behind you—and we care not to suffer the humiliation and inconvenience of temporary confinement. The Jaliscos are hot-blooded and revengeful, and you now have one for your bitterest enemy. Take my advice, me boy, and watch yourself day and night, for you can't tell when Felipe will strike at you."

Then the Irishman grasped his companion by the arm and urged him toward the door.

At the door, ere leaving the office, Felipe turned to glare over his shoulder at Frank, hissing:

"You rob me! I will kill you!"