With this thought in mind Ned moved off. The iron mill took up quite a large space of ground, what would be termed a city block, and there were streets on three sides of it, besides a road along the river, between the stream and the mill. A high fence surrounded all but the front of the mill, though there were gates in it at intervals to admit the workmen and teams. To get to his home Ned had to go to the farthest end of the mill fence, and turn up a street there. He was walking toward the corner, and was close to it, when he heard footsteps approaching.

He hesitated a moment. Then he reflected that he had as much right to be where he was as any one. The footsteps came nearer and nearer. Then, as Ned proceeded he turned the corner, and came face to face with Noddy Nixon!

Just then the moon, which had been hidden by a cloud, came out brightly. By its gleam Ned could distinguish the bully’s features clearly. They bore a look of mingled rage and fear.

“Hello, Noddy,” said Ned, resolving in spite of all that had taken place, to speak friendly. “Fine night, isn’t it?”

“Look here!” burst out Noddy. “Are you spying on me? Can’t I go to the river to get some fish bait without having every young cub in Cresville at my heels?”

“I wasn’t spying on you, as you call it,” said Ned quietly, “and if you think so the less I have to say to you the better off I’ll be.”

“I’ve a mind to knock your head off,” spluttered Noddy. “Just mind your own business or you’ll get into trouble, and it will be a kind you won’t like.”

Ned did not deem the remarks worthy of an answer. He turned and was hurrying past. As he did so he noticed that Noddy held tightly under one arm a small square box. It seemed to be made of wood. Catching Ned’s glance at what he carried, Noddy rapidly shifted the box until it was hidden under his coat. Then, with angry mutterings, he hurried on.

“Rather a queer sort of box to use for his fish bait,” thought Ned. “I wonder what he was up to, any how? And I wonder what that light in the mill meant? I’ve had quite a few adventures to-night. Guess I’d better get home before I meet with any more.”