Parking lot. Veronica spies a silver car with the vanity plate "Kuzzikan." Just like that, she's in the car with Kelly, telling him that he didn't get mugged. He admits that, and she surmises that he needed to make some fast cash: "You're gay, aren't you?" Kelly looks around like he never thought of it that way. Given what he said to Dick earlier, that seems very possible.
Klosetkar. Kelly asks what Veronica wants, and Veronica asks him why he acts the way he does. Kelly says he just wants to survive high school. Of course, quitting a team sport might make coming out less intimidating, but maybe he's seen The Broken Hearts Club and is just planning for the future. Veronica catches us up: Kelly hocked his rims (heh heh heh) to pay the blackmailer, used the pizza-mugging story as cover, and collected the insurance money and bought new rims. Kelly: "Sounds bad when you say it." Well, that may be, but it'd be ten times worse coming out of Kylie's mouth. Kelly tells Veronica that if people find out about him, he's dead, and I have to admit that his resigned tone is kind of heartbreaking. Veronica tells him that she won't out him, but asks to see the email. Kelly says it's from a "Rick Santorum," and that would normally be only hilarious, but is actually side-splitting in the context of this episode if you click this link I came across. (But it's gross, so be warned.) Kelly adds that "Santorum" gave him an address, which surprises Veronica. Honey, I just gave you his address too.
Hannah checks the outgoing call logs on her home phone, and finds a number of calls to the River Stix and to the Fitzpatricks.
Cut to Hannah inspecting the medicine cabinet in what's presumably her dad's bathroom. She empties out a box of bandages and finds a bag of what looks like coke. Given that Logan was in that bathroom (presumably unnecessarily, since that enormous first floor had to have a bathroom of its own) and that he directed Hannah to look around the house, he pretty clearly planted the drugs, and he is one stone-cold douchebag. Jason Dohring may be a charismatic actor, but it is going to take some serious writing to bring Logan back to remotely sympathetic. (Need I say it? DON'T email me.)
Mars Investigations. Veronica tells Ryan that the "Rick Santorum" address was a fake, and that Kelly mailed his payment, but that it's been stuck at the post office for hours. She opens her laptop to find that the money has finally moved. Ryan says he recognizes the address as Veronica smiles...