The Furry Tale Theater is being plagued by a series of strange goings-on, and it's up to Hello Kitty and her friends to find out who the culprit is.
It's been another successful day in the theater for Hello Kitty and the others; however, as they are making their final bows, the curtain falls on them- literally! While the performers aren't so happy about the incident, the viewers sure found it enjoyable. Naturally, suspicion falls on Tuxedosam- he was the one running things backstage, after all. While he professes innocence, the fact remains that someone had to have done it. Despite the strange goings on, the show went splendidly, so the actors retire for the day. However, closer inspection of the ropes by Sam reveals a concerning fact- the rope was cut; this was no accident! Before Sam can report this, he ends in a second surprise- a rope around his ankle leaves him dangling for quite a while.
As the day goes on, more and more strange occurrences go on. First, Grinder's favorite shirt goes missing. Shortly afterwards, Catnip finds a bag of her candy (which had gone missing) in Grinder's duffel-bag. It seems bad for Grinder, but things only get worse- My Melody's teddy ends up in Chip's dressing room (after it was stolen) and he's all soaked! Thankfully, something does go right- Chip saves Sam from his dangling doom... only for the two of them to fall into the depths of the theater's basement.
While My Melody tries to take care of her teddy, she's attacked by the most horrid of all things- a haunted glove! Likewise, someone keeps causing the power to go on the fritz. Likewise, a series of creepy howls begin to echo through the theater proper. It seems a phantom is up to the works happening this eve, but it's impossible... isn't it? Naturally, it falls to Hello Kitty, My Melody, Catnip and Grinder to solve the case... but there's one problem- how on Earth does one catch a phantom?
With the theater providing no real answers, it's decided that a trip into the underside of the theater is required. While down there, the group reunites with Chip and Sam. Sadly, a locked door prevents a proper search of the premises. Thankfully, Grinder's superior strength sees the door blown in. However, in the mess, he gets tangled in mummy rags and scares the already unnerved detectives. The problem is soon dealt with, but everyone's pointing fingers at everyone else... until the organ starts playing. When a secret passage is revealed, it would seem that the time has come to catch this mischievous phantom.
Eventually, the actors come face-to-face with the dreaded "Phantom"- a little mouse with a skill at organ-playing by the name of Mouser. He assures the gang that he never meant any harm with his pranks- he was just trying to save his theater (apparently, he's lived there longer than anyone else)! Thankfully, the group comes to a decision to take a shared responsibility of the theater after Mouser shows his kinder side by sharing his toys. It can be certain that the future will be a wild one with Mouser in the gang.