Curly and Pete drive the mares to the summer range, with Trigger. To bunk for the night, they head for the ghost town where their old pal the hermit, prospector Dan, lives. It is a ghost town no more. Gold mine stock has revived the town, to Dan's delight. Curly and Pete smell a rat: the stock company is run by swindlers who salted the mines. In an attempt to get Curly and Pete's mares, the swindlers frame Curly and Pete, who escape town with their herd, and find real gold in the dried-out wash along the way to the summer range. The town's victims of the phony-stock scheme catch on to their own plight, but the swindlers find out, and light out as the mob builds for them. Curly and Pete reach the line camp and Uncle Mike; the mares are settled in the summer range. Curly and Pete head back to stake their claim. A cloudburst! A flash flood runs through the wash, overwhelming the swindlers on its way to wipe out the town. Meanwhile, the mob grabs prospecter Dan, claiming he was in cahoots with the swindlers. Curly rides Trigger, who races against the flood, to warn the town of impending doom!