The wealthy Mrs. Teasdale insists that Rufus T. Firefly be appointed leader of the small, bankrupt country of Freedonia before she will continue to provide much-needed financial aid. Meanwhile, neighboring Sylvania is attempting to annex the country. Sylvanian ambassador Trentino tries to foment a revolution and to woo Mrs. Teasdale, and he tries to dig up dirt on Firefly by sending in spies Chicolini and Pinky.