Lure of the Basilisk

(Totally ripped from Lawrence Watt-Evans' book, The Lure of the Basilisk)
The party arrives in Skelleth after a five week journey from Verella. They are very disappointed as the town is miserable. The wall is uncared for and has crumbled in many places. The town is poor and rundown. They ask a local for directions and come to the King's Inn, which is down a filthy alley and the outside is dirty as well. They stable their horses and walk inside.
As ugly as the outside is, the inside is beautiful, clean and polished with well made furniture, but all decades if not a century old. Floors and furniture are polished smooth with use and gleam with care. The party goes to the bar and Cyrus spots an old man in a yellow hooded robe in the corner. Antonio goes to speak with him. Antonio questions the old man, who admits he is the Forgotten King. Antonio explains that they were told by an oracle (Seek the Oracle) to find the Forgotten King and he would be able to help them. The King admits that he can, but he needs certain quests done in turn. However, he needs to ensure that the party is competent. So, as a test, he tells Antonio they must bring him the head of the first living thing they encounter in crypts below the keep of Mormoreth. He gives them directions and swears by all the gods that if they can carry out his tasks, he will aid them.
Antonio returns to the party and they decide to leave immediately. They stock up on supplies and ride out on the ten day journey to Mormoreth. The ride is uneventul for the most part, but a few days short of their destination, they are suddenly struck from behind by a flight of arrows. Spinning around, they see a group of a dozen bandits lined up across their backtrail. Where did they come from? The bandits continue firing and the party charges into battle. Arrows, sword strikes and a Psionic Blast fly and after a brief battle, the survivors surrender. The survivors explain they are bandits hired by the wizard Shang to keep intruders away from his keep. He gave them a magic jewel, the Jewel of Blindness that allows them to become invisible to ambush travellers. Since the bandits are desperate men, the party gives them some gold and tells them to take the wounded and leave the area, and not to return. They take the Jewel of Blindness.
Travelling on, the party comes to the keep, which guards a small valley pass in the mountains. There are a few small houses outside the keep, but there are no signs of movement or smoke from any chimney except one small one on the keep itself. They decide to hide their animals in one of the houses and use the Gem of Blindness to sneak inside. However, as they approach, there is a man watching them from the wall. They approach and speak with him, he is the wizard Shang. He is jovial at first, as if amused by their presence. But, once they mention they are there for the Forgotten King, he becomes upset. The only thing in the crypts is a basilisk, and he does not want it given to the Forgotten King for fear of what evil he might wreak with it. He tries to convince, then bribe them to abandon their quest. When they refuse, he says he will have nothing to do with them, but if they succeed in taking the head of the basilisk, he will slay them himself. He disappears from the wall. Jozan decides to prepare Slow Poison, Cyrus uses his Ectoplasmic Form ability to seep through the castle gate, then Adrenaline Surge for the strength to lift the locking bar from the gate.
The party crosses the courtyard, which is littered with more petrified people and animals. Cyrus tries the keep door, which is locked, again he uses his Ectoplasmic Form ability to circumvent doors and the party enters the keep. Reasoning that the crypt will be downstairs, they moved into the lower levels and find the door to the dungeons. It is a heavy, reinforced, locked doors with spikes to discourage trying to batter it down. Jozan and Kiriana get weapons from the keep's armory and batter the hinges off the door. The noise attracts Shang and he attacks the party with a variant of the Magic Missile spell that delivers poison. The party fights and defeats him, then decides to rest before going in search of the basilisk.
Descending into the crypt, they hear the basilisk approaching. Cyrus decides to use Psionic Blast, but as the basilisk turns the corner, he accidentally meets its gaze and is Petrified. Antonio and Kiriana don blindfolds and attack, Jozan uses a Knight's Move prayer to teleport behind the monster. Ulayoth casts Seeking so his arrows will curve towards the basilisk and he doesn't need to look directly at it. Kiriana is severely wounded midway through the battle, but is healed by Jozan. They kill the basilisk and chop off its head, wrapping it in blankets from the barracks. The party searches and loots the keep, then gets a wagon from its stables. They load Cyrus' Petrified body in the wagon with the head.
They return to Skelleth and present the head to the Forgotten King. He unwraps it and examines it, then regretfully tells them it is of no use to him. Jozan takes it away to be burned. The Forgotten King restores Cyrus to health. He tells them that they have passed his test, they must wait until he decides what their next task will be. They are a little put out to be stuck in this run down town, but begin planning on how they can get help for the villagers who were turned to stone by the basilisk.
Among the loot they took from the keep is Shang's spellbook, material components, a quantity of basilisk blood and venom and three magic items: the dagger Deathcloud, a Pyrewalker's Cloak and a Ring of Resistance.