While water-skiing, Yukari falls into a mysterious oil-like slick that starts to turn her into a plant. Tommy and Oscar trek into the jungle to find a special plant that can be used for an antidote. They discover that Cesar is responsible for the water pollution. Soon the villain and his henchman are hot on Tommy and Oscar's trail.
Oscar falls asleep reading "Alice in Wonderland". Tommy and Yukari wake him up and insist on going to a walk. When the trio steps outside, the town they live in has been replaced by a fairy tale land. Tommy learns that the country is ruled a despotic king called Backgammon who employs three enormous oafish henchmen who force the populous to labor on his pet projects - bottling raspberry jam and building an army of robots to help him conquer the world. Tommy, Oscar and Yukari try to rally the villagers to rebel against the king, but are captured and thrown in the castle's deepest dungeon. Employing techniques learned from fairy tales and Greek myths the three young heroes escape and battle the king and his minions;
Cesare discovers an old map leading to buried treasure on a remote island, so he steals a cruise ship to get he and his pair of henchmen there. Tommy, Oscar and Yukari are also on the cruise ship, courtesy of tickets provided by Professor Leonard. They discover the ship has been hijacked, but are thrown overboard before they can rescue the crew. Thanks to Oscar's ability to change into different shapes, such as a life raft, they follow the cruise line to a remote island and help the native islanders battle the crooks.