Malcolm awakens from his long slumber in a place even worse than the Ends of the World. The Queen rules over the Fish Court and Malcolm will be at her beck and call. No matter where you go, she will always be able to call Malcolm back for a game of tic-tac-toe.
The Queen will want to keep playing until she wins so go ahead humor her by throwing the match. Be sure to set Malcolm's mood to lying and flatter her after losing so you can once again frolic around this strange kingdom.
As you explore, be sure to pick up any items you come across. They will all come in handy soon. To the north, you can find a school of fish. You can snag the teacher's apple after distracting him by using the Jester's Staff on the students to the left.
To the left you will find Ed's Discount Underworld Express. With a promise to blast you out of the area, this looks like your ticket out of here. A ticket that will cost you five gold coins. You can find Buddy the bat-fish hanging around the garbage dump at the end of the water slide. He will pay for your collection of junk - one coin for a set of three items. The only problem is how to acquire more garbage for his collection. As his name suggests, Buddy really is blind as a bat. By placing an objects on the ground to the right, he will take the bait and leave his lair unprotected. Use the opportunity to quickly snag a few items from his stash. You can use the garbage you just acquired to keep doing this. If you run out of items, you can ride the water slide to land on top of Buddy's home and pick up some more junk before he kicks you off. Buddy is also very gullible. If you set Malcolm's mood to lying, you can get two gold coins out of him by impersonating a tax collector.
The above method will definitely get you a ticket for Ed's cannon but there's a faster path available. At the pillar of fish, you can feed the one on the bottom two worms to fatten him up and break the ramp. Worms can be found in apples like the one on the teacher's desk or from Buddy's dump. Simply ride the water slide once again and you will find yourself at the entrance to the Underworld.
These bureaucrats are in no hurry but you can get some vital information from the clerk. To bring back the King, you will need a few items in order to conduct a Royal Seance: a likeness of the deceased, something that looks back in time, and the presence of at least seven mortals who wish to see him returned.
A likeness of the deceased is printed on every single gold coin in the kingdom. An item that looks back in time comes in the form of a newspaper from Buddy's garbage dump. The seven mortals who want the departed to return can be summoned during a game of tic-tac-toe. Counting Malcolm and the royal retainer next to the Queen, simply wait until 5 mermen are placed on the board. Set the newspaper on the ground and touch a gold coin to it to get the Queen off your back for good.
When Malcolm returns to the Underworld via the slide or cannon, you will discover the line hasn't budged at all. To get ahead, you can ask the man in front nicely or you can place a coin on the ground to distract him. It seems the clerk was expecting Malcolm and ushers you through the door.
The land down under is not nearly as fiery as expected. Just when it seems like Malcolm has finally found a place where he belongs, the receptionist will return with some bad news. Due to a problem with his paperwork, Malcolm will have to return to the surface using a rickety old auger machine.
Summary
Lose at tic-tac-toe to the Queen then flatter her by being nice in order to leave the throne room
Get five gold coins from Buddy or disable the water ramp by feeding the fish two worms
Ride the cannon or water slide to the Underworld to learn about the Royal Seance
Get a gold coin and newspaper from Buddy's Dump
Combine both items on the ground during a game of tic-tac-toe where there are at least 5 mermen on the board
Return to Underworld and cut in line by being nice or using a gold coin as a distraction
Ride the auger back to the surface