The gang return to the stage to find the Phantom setting fire to the opera house. Steve admits to the gang that he vandalized the opera house due to his hatred for disco music, but that now he only goes into the opera house to get food. The gang manage to track down a Phantom, only to find it is the original Phantom, a man named Steve Trilby. Due to these attacks, Fred and Daphne decide to use themselves as bait to lure the Phantom out. During the dress rehearsal, the Phantom sabotages most of the finalists’ acts, leaving Chrissy, Emma, and Fred and Daphne as the only contestants left. Fred and Daphne meet Emma’s parents, who are hoping to get the prize money to save their home from bankruptcy. The dress rehearsal commences the next day. They learn from Richmond that a Phantom once terrorized the opera house thirty-five years ago when it was a disco. Fred and Daphne meet the owner of the opera house Mel Richmond. While being chased briefly by the Phantom, Shaggy and Scooby notice the Phantom had a strange lemon scent and afterwards, the gang split up to search for clues. Not long after checking in for the talent show, the Phantom appears in the opera house and Fred, Daphne and Velma attempt to catch him using the surveillance cameras, but are unsuccessful due to the Phantom’s ability to seemingly appear in multiple places at once. However, after Pimiento states his belief that 'juggling stinks,' throughout the film, the two continually approach Pimiento and show him numerous desperate impromptu acts, all of which are terrible. Not wanting to be left out, Scooby and Shaggy decide to show Pimiento a juggling act, which they are betting will take the contest by storm.

Fred and Daphne also befriend one of the finalists, Emma Gale, a violinist.

Upon arrival, they learn that the opera house which the show will be held in is being terrorized by a Phantom, who is intensely lauding one of the finalists to win, Chrissy, a spoiled girl whose noisy parents are no more polite than her. gang head to Chicago, Illinois for a talent show, called Talent Star, hosted by Brick Pimiento, where songwriting duo Fred and Daphne are finalists with some high hopes.

Scooby doo phantom of the opera songs