Kay observed her companion's saddle. It was of black, hand-carved leather, with sterling-silver trimmings and long tapaderas—a saddle to thrill every drop of the Castilian blood that flowed in the veins of its owner. The bridle was of finely plaited rawhide, with fancy sliding knots, a silver Spanish bit, and single reins of silver-link chain and plaited rawhide. At the pommel hung coiled a well-worn rawhide riata.

When the gray was saddled, Farrel did not mount, but came to Kay and handed her the horsehair leading-rope.

"If you will be good enough to take the horses round in front," he suggested, "I'll go back to the kennels and loose the hounds. On our way over to the Sepulvida rancho, we're liable to put up a panther or a coyote, and if we can get our quarry out into the open, we'll have a glorious chase. I've run coyotes and panthers down with Panchito and roped them. A panther isn't to be sneezed at," he continued, apologetically. "The state pays a bounty of thirty dollars for a panther-pelt, and then gives you back the pelt."

Five minutes later, when he came round the north corner of the old hacienda, his hounds frisking before him, he met Kay riding to meet him on Panchito, but the gray gelding was not in sight. The girl was excited.

"Where is my mount, Miss Parker?" he demanded.

"Just as I rode up in front, a man came out of the patio, and started that automobile hurriedly. He had scarcely gotten it turned round when one of his front tires blew out. This seemed to infuriate him and frighten him. He considered a minute or two, then suddenly ran over to me, snatched the leading-rope out of my hand, mounted, and fled down the avenue at top speed."

"'The wicked flee when no man pursueth'," the master of Palomar replied, quietly, and stepped over to the automobile for an examination of the license. "Ah, my father's ancient enemy!" he exclaimed, "André Loustalot has been calling on your father, and has just learned that I am living. I think I comprehend his reason for borrowing my horse and dusting out of here so precipitately."

"There he goes now!" Kay cried, as the gray burst from the shelter of the palms in the avenue and entered the long open stretch of white road leading down the San Gregorio.

Don Mike's movements were as casual as if the theft of a horse in broad daylight was an every-day occurrence.

"Unfortunately for that stupid fellow, he borrowed the wrong horse," he announced, gravely. "The sole result of his action will be to delay our ride until tomorrow. I'm sorry, but it now becomes necessary for me to ask you for Panchito."