In the aftermath of the explosive first series finale, officials arrive to make enquiries. Newcomer Gerald Mace meets Nestor in the deserted Shepherd's Bar to question about the Shepherds. Meanwhile, Nikos has something important to tell the police; Krasakis goes in search of the Shepherds; and Ann regains consciousness on the boat, and Erik is horrified by what she has to say.
The murder case is closed; Nikos refuses Erik's request that he recant his confession. Krasakis contacts Interpol for information on Judith Huxley. American businessman Sam Webber makes Erik an intriguing offer. Gerald Mace pumps Nestor about the Shepherds. Erik is reunited with friend Imogen Lundqvist, who's assisting an archaeological dig on the island.
Imogen befriends Ann as Krasakis reminds Erik that Ann killed Culley, and Nikos faces the death penalty for the crime. Ann seeks psychiatrist Hugh Russell in an attempt to regain her memory, though Erik objects. Mace searches the Shepherds' bedroom. Webber invites the Shepherds to his hotel, and while there, Ann meets Russell, convincing him to administer her sodium pentathol.
Ariadne fears what she sees in tarot. Ann is tormented by nightmares. Imogen makes a move on Erik, and although he rejects her, Dartington sees the two kissing. Nikos continues to refuse Erik's suggestion that he recant his confession to Krasakis, while Ann dismisses Erik's idea that she confess to shooting Culley, preferring to keep their bargain that she wait for Culley's replacement to approach her.
Erik accepts Webber's deal upon learning his true identity. Meanwhile, Ann feels that she's being followed and accidentally betrays herself to Krasakis.
With Krasakis' help, Erik betrays an enemy who leaves Agios Nikolaos, though not as they would like. Cotton and Nicholson show their true colors and think they've won; however, Ann makes an unexpected sacrifice, leaving her fate decided. But will she face it alone?