Bertie, the Prince of Wales, and Lillie continue their affair in the house he had built for her. Her husband Edward has no idea what is going on but their relationship is obviously strained. The heir to the throne learns that his cousin Crown Prince Rudolph of Austria will be visiting and the Queen expects him to entertain the visitor. At a ball in his honor Rudolph falls head over heels for Lillie. At the formal dinner, he makes a scene, insisting that Lillie sit with him. He visits her frequently but when Bertie hears what is going on he decides that Lillie should be presented at Court, cementing their relationship. She continues her affair with Arthur Jones, but the Prince of Wales may have found a new paramour in Sarah Bernhardt. She oversteps the bounds of propriety at a fancy dress party ending their relationship.
—garykmcd