István Pongrácz, the lord of Nedec castle, is an eccentric man who longs for a bygone era. He lives in a fantasy of being a medieval lord, and his community indulges his imaginative desires by providing him with a horse. Following in the footsteps of his ancestors, he initiates a campaign against the city of Banská Štiavnica. To avoid conflict, the city officials offer him a "hostage": Apolka, an orphan. Her presence softens Count Pongrácz, who becomes attached to her. However, Apolka's affections lie elsewhere.