A young idealistic schoolteacher named Ruth Kirke (Deanna Durbin) is transporting a group of war orphans from South China to Calcutta when their steamship ''Tollare'' is torpedoed and sunk in the Pacific. Along with sailor Timothy Blake (Barry Fitzgerald), they are the only passengers to survive the enemy attack. They are picked up by the steamship ''Westonia'' and taken to San Francisco, where immigration officials inform Ruth that the orphans will be held until a $500 bond is posted for each child.