Charles is raided by the fraud squad and Ken tries to hide his guilt. Meanwhile, Kate is fully aware of his wrong doings and is determined to have him exposed. The order books are full at the Mermaid Yard and Tom and Jack have trouble completing work on time. Jan is busy making the HowardBrooke fashion show a success but James is preoccupied with Jan's previous relationship with Sir Edward. Later he tells Ken that Laura wants to buy his shares in HowardBrooke. Charles threatens to implicate Avril unless she stands by him.