Episode 11 of "The Haunted Palace" kicks off with an eerie vanishing act, as Pung-san and the ghost melt into the shadows, leaving behind a puzzle for the living. Gangcheori steps in heroically, rescuing Yeo-ri from peril and amassing a trove of evidence that draws the sharp gaze of Minister Kim Bong-in into the investigation. The King, undeterred by the spectral warnings, vows to confront and vanquish the ghost once and for all.
To divert his thoughts from the ghost's haunting words, Gangcheori lends his hand to Bibi in their quest to capture Lord Hong. However, Yeo-ri bursts onto the scene, halting their pursuit with a voice tinged with dismay. The reality dawns on her that they are still targeting nobles for their lives, and her heart aches at the thought. Gangcheori tries to reassure her with Bibi's peculiar morality tale of consuming vengeful elders to balance karma, but Yeo-ri faces harsh truths: Imugis hold no regard for mortal existence. She labels their actions murder and declares that Yoon Gap, had he been alive, would never countenance such deeds.
That night, sleep evades Gangcheori. Restless, he turns to Ga-seop, seeking a way to aid the eight-foot tall ghost in crossing over to the afterlife without the heart-wrenching cost of his own pearl. Bibi, eavesdropping on their conversation, fury surges within him, believing his brother's fate is unfairly tied to Yeo-ri's burdens.
Elsewhere, Kim drops a bombshell, uncovering a cache of letters that implicate the Queen Mother as Pung-san's secret patron. When she feigns ignorance, the King unmasks another truth: Pung-san's hand in her husband's demise. The dots connect in her mind, revealing the ghost's role in Yeong-in's death too—the stench of decay clung to him like a shroud. She is overwhelmed with grief, and the King concludes that she is but a pawn in a larger game.
The mastermind, seething with rage at Pung-san's capture, plots his demise. However, the specter intervenes, menacing Kim and insisting that his assistance is crucial in crowning a new monarch. Reluctantly yielding, Kim sanctions a new refuge for Pung-san: the sanctified confines of the family's ancestral shrine.
Within the hallowed halls of the royal library, the camaraderie of the gang delves into the specter's grim toll. It transpires that not all descendants of royal blood have fallen prey; the ghost's malevolent gaze is singularly focused on the lineage of King Yeon-jong, the great-great-grandfather of the reigning monarch who reigned a century past. They theorize that the specter met its untimely end in Yongdam Village, the very spot where Gangcheori ascended to power. This locale bore the brunt of a century-old conflict, when Northern barbarians invaded, and a valiant soldier, whose descendant is Choi Won-u, emerged victorious and was honored accordingly. Moved by curiosity, the King resolves to interrogate Choi Won-u in person.
As the group disseminates, Gangcheori voices his discontent to the King regarding Yoon Gap, resenting the constant accolades bestowed upon such a manipulative figure by both the King and Yeo-ri. The King, sensing Gangcheori's jealousy, teases him playfully.
Elsewhere, Yeo-ri witnesses Bibi dragging Gangcheori away, intent on resuming their nefarious ascent plans. To her astonishment, Gangcheori concedes Yeo-ri's wisdom and endeavors to find amicable resolutions for Bibi's quota. Bibi, aggrieved, accuses Gangcheori of a transformation so profound that he would contemplate suicide for Yeo-ri's sake. Overhearing this, Yeo-ri is struck with shock.
As Bibi storms away in a huff, Pung-san sends him a Lord Hong devoid of protective talismans as a macabre gesture. The shaman, in return for Yeo-ri's demise, promises Bibi a coalition of nobles that would clear the path for their unhindered ascent. With Yeo-ri out of the picture, both Imugis would be free to claim their rightful thrones.
Elsewhere, our couple returns home in a comfortable silence, heavy with unspoken thoughts. Gangcheori ponders over the best way to mend bridges with Bibi, while Yeo-ri's anger has waned, particularly after their eavesdropping escapade. Their fingers brush accidentally, and Gangcheori discovers that Yeo-ri has bestowed her ghostbane stone upon the Crown Prince. She elucidates that she no longer requires it, for his presence is her shield. She acknowledges his steadfast companionship and vows never to mistake him for Yoon Gap again. Moreover, she offers another compelling reason for her gift – a tender kiss that leaves Gangcheori's heart racing. Bibi catches sight of this intimate moment and can't help but feel a pang of jealousy.
At dinner, Mrs. Yoon and Gangcheori engage in their usual sparring match, their words sharp as swords. Meanwhile, Yeo-ri pulls Ga-seop aside, her eyes gleaming with curiosity, and inquiries about Neop-deok's strategy to vanquish the ghost. She reveals that Neop-deok summoned a grim reaper for a fleeting exorcism, sparking a creative idea in Yeo-ri's mind. She harbors hope of uncovering the ghost's true identity and invoking the fire reaper – a grim reaper of burned souls who might escort the ghost into the afterlife. Bibi, eavesdropping once again, proudly asserts that the ghost's identification pendant resides in the newly consecrated shrine. Yeo-ri's eyes light up with excitement, promising to handle the ghostly affair without endangering Gangcheori.
Bibi firmly believes that her profound and genuine affection for Gangcheori will drive him to great lengths to fulfill her desires. This very belief propels him to accept Pung-san's proposition. As he bids farewell to the serene shrine, his eyes catch Kim in the midst of a visit to the mystical shaman.
The subsequent night unfolds with a sinister twist, as Pung-san and Bibi devise a plan to ensnare Yeo-ri. Se-won, the loyal assistant, cunningly lures Gangcheori to the shrine, setting the stage for a dramatic confrontation. With murderous intent, Bibi launches an attack, aiming to slay Yoon Gap's embodied form and thereby liberate his brother from his cursed fate. He wields his Imugi pearl, to which Pung-san responds with a mocking grin.
Yeo-ri, however, perceives the true underlying motive of this treacherous plot. She sounds a warning to the Imugis, revealing that the shaman seeks an Imugi pearl with sinister intentions. Precisely at that moment, the angry ghost unleashes its sword, targeting Gangcheori, the weaker Imugi among them. Bibi, in a heroic move, steps forward, shielding Gangcheori, but his precious pearl is devoured by the relentless ghost. Amidst the ghost's distraction, Gangcheori, Bibi, and Yeo-ri seize the opportunity to flee.
As The Haunted Palace Episode 11 draws to a close, Gangcheori desperately attempts to save Bibi, whose life force is ebbing away without his pearl. Bibi, acknowledging the fatality of his plight, sees it as a deserved punishment. In his dying breath, he confides in Gangcheori, revealing Kim as the mastermind behind the scheme. Gangcheori, ever supportive, reassures Bibi that he knows the truth. With profound sorrow, Bibi expires in Gangcheori's tender embrace.
