After Slip discovers a spiritualist in the neighborhood, he enlists the boys to investigate. They discover that she is a fake and working for Margo the Medium, a radio star who has convinced Sach and Whitey that ghosts exist. They go to her place using Louie as a decoy. While she is busy trying to connect to Louie's dead uncle, the rest of the boys investigate the house. A real ghost, Edgar, befriends Sach and helps him investigate as well. Although the others cannot see Edgar, he does help them in times of crisis and helps them uncover Margo's scam.