A group of children from a small village break a rule and cross over to the other side of the river. There, in the forest, they find the ruins of an old stone house, which they think may be haunted. This is the spook house of the title. They decide to search the house for treasure. They find all kinds of old things. Nomalitha, the leader of the group, takes back the remains of a necklace and makes herself a new necklace. But her sharp Gogo notices the beads immediately and demands to know where they came from. Nomalitha tells the truth, and Gogo calls the museum staff to come and investigate the old house. The museum staff make a display about the old farmhouse and the children go to see it.