Der englische König bittet den berühmten Piratenkapitän William Kidd um Geleitschutz für seine Handelsflotte. Kidd nimmt den Auftrag dankend an und plündert die ihm anvertrauten Schiffe. Der Monarch schäumt vor Wut und fordert Käpt'n Kidds Kopf. Der junge Lord Mercy soll den Wunsch erfüllen...

Abbott und Costello sind zwei harmlose Kellner in einer verrufenen Seeräuberspelunke. Durch eine Verwechslung geraten die beiden in den Besitz einer Landkarte, die einen versteckten Schatz auf der "Toteninsel" beschreibt. Das weckt das Interesse des gefürchteten Piraten- kapitäns Captain Kidd, der Jagd auf die beiden macht.

When Captain Kidd is reprieved from the gallows by a greedy nobelman who wants to know the location of his buried treasure, he sets off across the seven seas with faithful slave girl Eva Gabor in tow.

In this short, a modern-day promoter tries to sell a man the idea of searching for Captain Kidd's buried treasure, claiming he has the original map. A flashback reveals that Kidd was known to be a pirate and also to have had a commission from William III at one time, which instructed him to act as a unit of the British Navy. What became of the fabulous treasure Kidd took from the ship "Kedah Merchant".

The story of this film begins with the ominous day on which Lord Bellomont gave William Kidd a commission to rid the seas of pirates. Instead of complying with Lord Bellomont's desires, Kidd immediately commenced a series of piratical attacks at first on French and Spanish vessels and later on ships of all nationalities indiscriminately.