This is season 1, episode 5, and we are reading Chapter 5 of The Great God Pan, an 1894 novella by Arthur Machen.
A few months have passed, and Mr. Villiers once again runs into his friend Austin. Villiers has received a letter from Mr. Clark, telling him to drop his inquiries into the history of Helen Vaughan. Austin shows Villiers a letter and a book sent to him following the death of his friend Meyrick, and it contains a shocking illustration.
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