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Street kids get sent to the country, where they get mixed up in murder and a haunted house.
After living all his childhood in the street, a young boy rapidly notices that crime doesn't pay, leading him to become a policeman. One day, one of his best friends goes to prison for a murder he didn't commit. The policeman tries his best to release the friend by proving his innocence.
A street kid has dreams of becoming a jockey. He gets his chance when he and his gang discover a poor old man who has a championship race horse. The man agrees to let the boy ride his horse in a race, but first the gang must get enough money to pay for the race's entry fees.
Muggs is tricked into entering a Civilian Conservation Corps camp by Danny in order to get in shape. Muggs resists and battles with the camp captain and with other campers. He also becomes involved in trying to help one of his friends get out of trouble.
A group of young men who work at an aviation factory begin to suspect that a doctor who runs an air ambulance service is secretly a spy transporting secret information from the plant to enemy agents.
The East Side Kids discover that one of their own, Danny, is torn between staying in school and becoming a boxer, and is getting mixed up with gangsters.
The gang is sent to the Wilton Reform School after they are unjustly convicted of stealing a truck. Bill Collins, brother of co-leader Danny, becomes involved in a killing and, while also innocent, is convicted and sentenced to death. Through a series of events, Muggs, Glimpy, Danny and the rest of the gang, learn that Knobby, a henchman of Luke Manning, knows something about the murder.
Rejected by the Army, Marines, and Navy for being too young, the punks help the war effort by throwing fruit at a shop they believe is owned by a Japanese American. Confronted by him wielding a short sword, the gang decides to come back at night but find him dead.
Danny helps to capture a wanted criminal and receives a $200 reward. However, he has a falling out with the gang when they believe he should share the money with them. Complications ensue when the crook that Danny helped capture escapes from jail and comes looking for him.
The East Side Kids find a young girl in the apartment of a man who has just been murdered. Believing her to be innocent, they hide her in their clubhouse while they try to find the real killer. The killer, however, used a baseball bat as his murder weapon, and the bat has the fingerprints of one of the gang on it.