Tad's dream is to attend a military academy so he can grow up to be a great soldier and a war hero, like his father. What he doesn't know is that his father, Slag, is actually a thief and a derelict. Slag robs a factory in order to get the money to send Tad to military school, then gets a job at the academy's horse stables to be close to his son, who doesn't know he's alive.

The kids decide to put on a circus at the local hotel. Seeing various pets and other domestic animals dressed up like circus animals was very cute--particularly the dachshund dressed as a seal! However, the animals all get loose and terrorize the hotel guests--including a drunk played by Oliver Hardy.

While the world watches the Olympic Games in Stockholm, the Rascals gather at the flats for their own games. Whether it's the shot put, the hurdles, the pole vault, or the high jump, not much goes right. There's a deep mud hole that catches several of the kids, and someone out there keeps giving them the razzberry. It's young Wheezer hiding out of sight with his dog Punch, but the kids think it's another boy, so every time they hear the Bronx cheer, they chase the innocent lad and give him a thumping.

The Gang turn to playing football, and face tough competition against the Gas House Garlics.