when he came to think it over, harold gradually recovered his complacence. it was a gold watch, after all, and no one would know that the gold was low grade. he met one or two acquaintances, who immediately took notice of the chain and asked to see the watch. they complimented him on it, and this gave him satisfaction.

when he reached home, he went directly upstairs to his room, and only came down when he heard the supper bell.

as he entered the dining room his mother was the first to notice the watch chain.

"have you been buying a watch chain, harold?" she asked.

"i have something besides," said harold, and he produced the watch.

mrs. tracy uttered an exclamation of surprise, and mrs. merton and warner exchanged significant glances.

"how came you by the watch and chain?" asked mrs. tracy, uneasily.

"they were given to me," answered harold.

"but that is very strange. aunt eliza, you have not given harold a watch, have you?"

"no, louisa. i think a silver watch is good enough for a boy of his age."

"why don't you ask me, louisa?" said warner, smiling.

"i don't imagine your circumstances will admit of such a gift."

"you are right. i wish they did. harold, we are all anxious to know the name of the benevolent individual who has made you such a handsome present. if you think he has any more to spare, i should be glad if you would introduce me."

"i will explain," said harold, glibly. "i was walking along dearborn street about two o'clock, when i saw a gentleman a little in advance of me. he had come from the commercial bank, i judge, for it was not far from there i came across him. by some carelessness he twitched a wallet stuffed with notes from his pocket. a rough-looking fellow sprang to get it, but i was too quick for him. i picked it up, and hurrying forward, handed it to the gentleman. he seemed surprised and pleased.

"'my boy,' he said, 'you have done me a great service. that wallet contained fifteen hundred dollars. i should have lost it but for you. accept this watch and chain as a mark of my deep gratitude.'

"with that, he took the watch from his pocket, and handed it to me. i was not sure whether i ought to take it, but i have long wanted a gold watch, and he seemed well able to afford the gift, so i took it."

mrs. tracy never thought of doubting this plausible story.

"harold," she said, "i am proud of you. i think there was no objection to accepting the watch. what do you say, aunt eliza?"

"let me look at the watch, harold," said the old lady, not replying to her niece's question.

harold passed it over complacently. he rather plumed himself on the ingenious story he had invented.

"what do you think of it, warner?" asked mrs. merton, passing it to her nephew.

"it is rather a cheap watch for a rich man to carry," answered warner, taking it in his hand and opening it.

"i am sure it is quite a handsome watch," said mrs. tracy.

"yes, it is large and showy, but it is low-grade gold."

"of course, i don't know anything about that," said harold. "at any rate, it is gold and good enough for me."

"no doubt of that," said the old lady, dryly.

"rich men don't always carry expensive watches," said mrs. tracy. "they are often plain in their tastes."

"this watch is rather showy," said warner. "it can't be called plain."

"at any rate, harold has reason to be satisfied. i am glad he obtained the watch in so creditable a manner. if it had been your protege, aunt eliza, i suspect he would have kept the money,"

"i don't think so, louisa," said mrs. merton, quietly. "i have perfect confidence in luke's honesty."

"in spite of your lost pocketbook?"

"yes; there is nothing to connect luke with that."

harold thought he ought to get the advantage of the trick played upon luke in the morning.

"i don't know as i ought to say anything," he said, hesitating, "but i met luke this morning, and if i am not very much mistaken, i saw in his pocket a wallet that looked very much like aunt's. you know he wears a sack coat, and has a pocket on each side."

again mrs. merton and warner exchanged glances.

"this is important!" said mrs. tracy, in excitement. "did you speak to him on the subject?"

"no."

"why not?"

"i thought he might be innocent, and i didn't want to bring a false charge against him."

"you are very considerate," said mrs. merton.

"that seems quite conclusive, aunt eliza," said mrs. tracy, triumphantly. "i am sure warner will agree with me."

"as to that, louisa," said her brother, "harold is not certain it was aunt's lost pocketbook."

"but he thinks it was----"

"yes, i think it was"

"for my own part, i have no doubt on the subject," said mrs. tracy, in a positive tone. "he is the person most likely to take the money, and this makes less proof needful."

"but, suppose, after all, he is innocent," suggested warner.

"you seem to take the boy's side, warner. i am surprised at you."

"i want him to have a fair chance, that is all. i must say that i have been favorably impressed by what i have seen of the boy."

"at any rate, i think aunt eliza ought to question him sternly, not accepting any evasion or equivocation. he has been guilty of base ingratitude."

"supposing him to be guilty?"

"yes, of course."

"i intend to investigate the matter," said the old lady. "what do you think, harold? do you think it probable that luke opened my drawer, and took out the pocket-book?"

"it looks very much like it," said harold.

"certainly it does," said mrs. tracy, with emphasis.

"suppose we drop the conversation for the time being," suggested the old lady. "harold has not wholly gratified our curiosity as to the watch and chain. do you know, harold, who the gentleman is to whom you rendered such an important service?"

"no, aunt eliza, i did not learn his name."

"what was his appearance? describe him."

"he was a tall man," answered harold, in a tone of hesitation.

"was he an old or a young man?"

"he was an old man with gray hair. he walked very erect."

"should you know him again, if you saw him?"

"yes, i think so."

"then, perhaps, we may have an opportunity of ascertaining who he was. my broker will probably know him from your description."

"why do you want to find out who he is?" asked harold, uneasily. "don't you think i ought to keep the watch?"

"i have a feeling of curiosity on the subject. as to keeping it, i don't think the gentleman will be likely to reclaim it."

"of course not. why should he?" said mrs. tracy. "he gave it freely, and it would be very strange if he wished it back."

here the conversation dropped, much to harold's relief. warner accompanied his aunt from the room.

"what do you think of harold's story, warner?" asked the old lady.

"it is very ingenious."

"but not true?"

"no; he got the watch and chain from a pawnbroker. i saw him come out of the shop, and going in, questioned the pawnbroker. he must have got the ticket somewhere."

"then it seems that harold is not only a thief, but a liar."

"my dear aunt, let us not be too hard upon him. this is probably his first offense: i feel like being charitable, for i have been in the same scrape."

"i can overlook theft more easily than his attempt to blacken the reputation of luke," said mrs. merton, sternly.