The movie started with Kaede Hiramoto being attacked by a Yokai (demon) called Nure Onna (Wet Woman). GeGeGe no Kitaro (Kitaro of GeGeGe Forest) and Nezumi Otoko (Rat Man), who were patrolling the vicinity helped Kaede. At Kitaro's tree house, Medama Oyaji (Father Eyeball) talks about people disappearing, and says that the Yokai that attacked Kaede must be behind this. Nezumi Otoko presents a strange instrument, and Oyaji at once realizes that it was one of the "Gonin Bayashi" instruments, and tells a legend that there was once a Yokai called Nami, and kept doing mischief. One day, she meets a fisherman called UmiHito (Sea Man), and decides to marry him. The fishers who were mischieved by Nami got angry, and decided to seal her inside a rock by performing the "Gonin Bayashi". Oyaji says that Nezumi Otoko might have released Nami by digging out the instrument from the rock, and she might be seeking for revenge. To find out more, Kitaro goes to the library of Yokai to find out more about the Gonin Bayashi, bringing Kaede with him. Once he finds out where the Goni Bayashi are, Nezumi Otoko, Neko Musume (Cat Girl), Konaki Jiji (Crying Grandfather), Sunakake Baba (Sand Throwing Grandmother), Kaede and Kitaro goes to find them. While Kaede and Kitaro are finding the Gonin Bayashi, Kaede says that she doesn't trust in Kitaro since he was at the same place as the Yokai. Kitaro tries to convince her that he was just on patrol, but Kaede ignores him. Kaede was attacked by a Yokai, rescued by Kitaro and realizes that Kitaro wasn't evil. After going back home, Kaede cleans her house, and finds something with the sign of the Gonin Bayashi, and once realizes that her ancestors were part of the Gonin Bayashi. Meanwhile at hell, Nurarihyon and Nure Onna makes a promise that if Nure Onna kills every relative of the Gonin Bayashi, Nurarihyon will turn Nure Onna beautiful again. They talk about the last relative of the Gonin Bayashi, Kaede. After Kitaro finds all the Gonin Bayashi, they go to the place where Nezumi Otoko found one of the instruments of the Gonin Bayashi. There, Kitaro's group gets attacked by Yasha, a Chinese Yokai. Once they make it deeper, they meet Nurarihyon, and he tells Kitaro that if he comes on the Yokai side and stops being on the human's side, he won't kill Kitaro. Kitaro refuses, and fights with Nurarihyon. When he got attacked, Neko Musume tries to save Kitaro, but she ends up getting hurt, and taken away. Nezumi Otoko searches for Neko, and starts the fight. Nure Onna then comes in, and kills Kaede. Nure Onna said that she kept her promise, so Nurarihyon has to keep his. When Nurarihyon said that he can't make her beautiful, she got so angry that she hit the ceiling. In the ceiling, there was a Yokai called Gasha Dokuro, which was made from the souls of the people that were killed by Nure Onna. Well, Nure Onna got in, and decided to kill everyone she saw using Gasha Dokuro. Inside Gasha Dokuro, Kaede played her flute to Nure Onna, and told her that not all humans were evil. That angered Nure even more. That was when Kitaro thought of an idea. At the beginning of the movie, Kitaro and Medama Oyaji were briefly talking about meeting Kitaro's mother, as they got permission from Enma Daiou (Pluto). Kitaro, using some kind of strange powers, communicated with Enma, and told him to let Nure meet UmiHito instead of Kitaro's mother. That was when Gasha suddenly stopped, Nure Onna met UmiHito and at once calmed down. She became beautiful again, and all her bruises disappeared. Nami and UmiHito went to heaven, and all the human souls went back to their owners. Then, Gasha Dokuro rolled off a cliff, and with the power of Kitaro and Kaede alone, they destroyed Gasha Dokuro. The next morning, Kitaro waved good bye to Kaede as she went on the bus and went back to the city.