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The Elder Scrolls III: Morrowind Hints
Fargoth's Hiding Place
1 of 12: You get this quest by talking to Hrisskar Flat-Foot, who's standing around in the upstairs room of Arrille's Tradehouse. Talk to him about "recover some gold" and then "Fargoth's hiding place."
2 of 12: Yes, this is the same Fargoth that you recovered (or will recover) the ring for. Matter of fact, this is your chance to get that ring back!
3 of 12: Hrisskar said Fargoth often sneaks about after dark, so remember that for later in the evening.
4 of 12: He advised you to spy on Fargoth from the top of the lighthouse, which is south of town.
5 of 12: After dark (around 9 pm), enter the lighthouse's front door, climb up the stairs, and exit to the top.
6 of 12: Go up onto the very top and face town.
7 of 12: In particular, watch the green swampy pond that's near the shacks of Foryn Gilnith and Indrele Rathryon.
8 of 12: You may have to wait a while, but you should eventually see Fargoth enter the pond, pause a moment in its center, and then exit it.
9 of 12: When he's gone, get down there and enter the pond yourself.
10 of 12: Search the tree stump to find his stash, which includes 300 gold, the ring you returned to him (if you returned it), and a lockpick.
11 of 12: You can just keep all the loot and not finish the quest, or you can go report success to Hrisskar, who lets you keep 100 gold plus the two items.
12 of 12: Either way, you'd better not mention the hiding place to Fargoth, or his disposition toward you will go down.