16. Betty and Veronica

Veronica searches through her stuff and finds a microphone in a pencil sharpener, suggesting that Clarence Wiedman (Christopher B. Duncan) was tracking her. Veronica waits for Wallace (Percy Daggs III) after a basketball game until Principal Clemmons pulls her aside. Principal Clemmons asks Veronica to find the school's mascot, a bird named Polly, which has recently been stolen. Veronica agrees to help under certain conditions. The principal and others think that a rival high school, Pan High, took the bird. Wallace is becoming increasingly popular and abandons Veronica at lunch.

Veronica goes undercover at Pan High, but their basketball players act as surprised as Neptune's at the parrot stealing. In addition, Veronica receives news that the Pan High mascot has also been stolen. Flashing back to where the previous episode left off, Veronica confronts her mother about her feelings for Jake Kane (Kyle Secor). Lianne says that she knows Jake Kane is innocent because they were together at the time of the murder. Veronica asks Leo for the tapes of Lilly's (Amanda Seyfried) murder investigation. Back in the past, Lianne informs Veronica that the meeting was to "protect her." Undercover at the school, everyone sees people congratulating a nerdy looking boy, Wilson on stealing the parrot, while Neptune sends a package of goat meat to the cafeteria.

Veronica talks to Wilson and flirts with him, asking if he would give her a tour of Rest Stop 15 (a place where students go to park, buy and sell, etc.). Veronica catches the boy's locker combination and calls Weevil (Francis Capra) with the parrot information, and lets Weevil know of the plan to meet at Rest Stop 15. Upon arriving at Rest Stop 15, Wilson is confronted by Weevil. Wilson says that the parrot in the picture is not Neptune's mascot. Back in the past, Lianne says that she does not know who Veronica's real father is, and that a paternity test would be needed.

Veronica gets Leo (Max Greenfield) to bring the Lilly Kane investigation tapes to her. At Neptune High, Veronica sits with Wallace and his new friends. Later, Wallace leads Veronica to a truck with a goat in it. Veronica listens to the interrogation tapes, and she hears Keith (Enrico Colantoni) talking to Jake Kane. Veronica sends Wallace to deliver a "gift" to Clarence Wiedman's assistant with a concealed listening device. Veronica listens to Keith's interrogation of Celeste Kane (Lisa Thornhill). That night, Veronica goes on a date with Leo before she sees Meg (Alona Tal) with Duncan (Teddy Dunn) on a double date with Jake and Celeste at the same restaurant.

Flashing back one more time, Lianne reveals Celeste's knowledge of the affair. Veronica points out a mistake in Jake and Celeste's story—Lianne says they were at the hotel for 20 minutes, while Jake said they were there for 2.5 hours. Meanwhile, a Pan High student in a mask shows the Neptune people over TV that he has the parrot. The student demands that Wallace does not play or else Polly will die.

Veronica talks with Meg, who says that the thug must have put in the announcement the night before. The two examine the photograph, and Veronica sees a basketball number on the person's sneakers. Veronica steals both the mascots back and frames the actual culprit—Jack, one of Wallace's teammates, who stole the parrot so he could start for Neptune, sabotage them, and clean up by betting against them. Veronica empties her bank account to check her mother into a rehabilitation center. Veronica talks to her father about her discovery that Abel Koontz (Christian Clemenson) is someone's patsy. Veronica takes out the bugged pencil sharpener and states that she knows who collected Abel Koontz's accounts. Veronica, assuming that Wallace has delivered the "gift", listens. Clarence Wiedman asks his assistant to call Amelia DeLongpre, and Veronica finds out that Amelia is Abel Koontz's daughter.