Part I, Book 2 in "The Annals of Santopia" begins when Prince Nicky, new heir to the Kingdom of Santopia, is but three days old, and continues immediately after the conclusion of Book 1 ("Santa & the Lost Princess"), after Santa has left for the Other World on Christmas Eve. (It is Christmas Eve in the year 1900.) When the White Sage prophesies that Nicky will grow up to marry the first girl born after him, the Baroness von Drear, then great with child, assumes the next Queen of Santopia will be her daughter. Unknown to the Baroness, however, the girl Noelle is born to a peasant couple deep in the Koliback Wood in the Realm of Drear. Noelle’s father, Taraxa, knowing the danger to Noelle, escapes Drear in a nighttime blizzard and safely places his daughter with Santa Pops in Santopolis, far away from the evil clutches of the Baroness. Santa Pops (the retired Santa) sends Noelle with Henry to live in London. The baby is hidden on the Grand Sleigh when it leaves Christmas Eve. He does not tell his son, the current Santa. Taraxa returns to Drear to rescue his wife, Inula, still very weak after childbirth. As they make their mad dash to escape across Frozen Lake, Gelf Captain Spicata and his squad of ugly Trelves pursue them, thinking they have the baby. Anxious to halt their escape, the Baroness unleashes the deadly lizard-like Pirandelves, who, while trying to kill or capture Taraxa and Inula, also make short work of Spicata’s squadron. Spicata sees that the two humans do not have a baby with them. Taraxa says she died the night she was born. The last book ends just as a Pirandelf tail sweeps Spicata, Taraxa and Inula into one of the holes made when the Pirandelves bolted up from the depths to attack them. In Book 2 of Part 1, Spicata encounters a distant cousin, Turis the Cretin, in service to the Pirandelves, rounding up the "catch" below water. Taraxa convinces Spicata to help them escape to Santopolis where Santa will give him a great reward and he will be forever free of the Baroness. They make their way to the White Sage's Palace and he gets them safely to Santopolis. There, Spicata realizes he will never fit in with the other Elves. But he also finds out that perhaps the baby Noelle did not die of a fever the night she was born. While Spicata is exploring the new world of Santopolis, Elf Duncan (a notoriously mischievous Blue Elf), while helping Henry keep Noelle hidden during the journey to the Other World, decides to slip into a Gold Elf uniform to explore the Grand Sleigh. When Duncan realizes he has a unique opportunity to visit the Other World (where Blue Elves are never allowed), he takes it and creates all kinds of havoc when dealing with Santa's Red Elves who live in The Warren, a series of catacombs beneath the Tower of London.