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The new owner Štěpán arrives at the castle at the foot of the Krkonoš Mountains with his fiancée, the beautiful countess Blanka, and his younger brother Adam. There is another new visitor in the mountain town, the ethnographer Jiráček, who collects local legends and is amazed that the local people still believe in Krakonoš. Štěpán's carriage knocks down a passing girl, whom Adam helps and she falls in love with him. Will Liduška's love for Adam come true? What mystery does the painting at Hůrka Castle hide and what terrible thing once happened in the mountains? Who will decipher the mysterious marks of the Italian book? And who is Krakonoš and what is his biggest secret?