- Hiding in the biology lab (the biology teacher was recently discovered to be a foreign spy, natch), Sasha now has one doozy of a daydream.
- He sees Stalin's plaster nose, complete with military uniform and pipe, sitting at a desk. The Nose engages Sasha in a conversation about his dad's criminal activities and demands that Sasha denounce his father.
- The Nose tells Sasha that they are interrogating his father right now, and that sooner or later he will confess.
- It's Surreal Storytime Time! The Nose recounts for Sasha a story about a time when he (Stalin) had some workers arrested for stealing his pipe.
- He called one of his State Security agents in to handle the situation. Ten minutes later, Stalin found his pipe in a drawer, and called the agent to let him know.
- It was too late, though: all of the workers had already confessed to the "crime." Needless to say, things didn't turn out so well for those workers.
- Stalin's Nose laughs uproariously at his own story, and again presses Sasha to denounce his dad.