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When Kitt finds out the truth about the Dragon-Sons, the caravan trade resumes, but the spectre of the Dragon-Lord remains. Apandi Bai, a ruined trader from Nurkande, is convinced that the root of the evil lies in Binkat, another city of the Golden Necklace, where the descendants of the old dragon Mundarcho Ashdar are prominent. They search for the Rosary of Varaksha, a string of rose-coloured pearls taken from the heads of Golden Dragons. Kitt also comes to Binkat to search for the Dragon-Lord and avenge a murdered poet. He and Apandi have suspicions but no proof. Many criminals of Binkat suffer a sudden loss of blood, and the authorities look for a mysterious killer. Lured by the Rosary of Varakhsha, the Dragon-Lord comes into the open, and soldiers and Emerald Princesses join the hunt, which ranges across the desert Kisil Kora, and turns up hidden oases and a paradise garden. Then, the old dragon Mundarcho Ashdar is found asleep in the Mountain Under the Moon, a dry river flows again, and suddenly, dragons are everywhere.