Young Pauline is left a lot of money when her wealthy uncle dies. However, her uncle's secretary has been named as her guardian until she marries, at which time she will officially take possession of her inheritance. Meanwhile, her "guardian" and his confederates constantly come up with schemes to get rid of Pauline so that he can get his hands on the money himself.

Crash Corrigan, a recent graduate of Annapolis, and Diana, a go-getting reporter, join Professor Norton for a search for the source of a string of earthquakes, Atlantis. They ride Prof. Norton's rocket submarine searching the sea and little Billy Norton, the professor's son stows away, of course. When they find Atlantis they are caught in a war between peaceful Atlanteans, note their white capes, and war-monging Atlanteans, note their black capes. After many harrowing moments for Crash, Diana, Prof. Norton and Billy, they barely get away with their lives when they escape a tower of Atlantis raised to the surface for the sole purpose of dominating or destroying the Earth (Which one depends on the compliance of the upper world dwellers.)