Penny is caught and almost turned into a boy forever so that she will not be able to stop Doctor Claw.

That bionic bonehead is off to the North Pole to stop Dr. Claw from taking over Santa's elves and workshop. Accompanied as usual by Penny and Brain who foil Claw's operations once again.

Gadget is still a klutz and Dr. Claw has a vicious new plan that makes him a super-hero in disguise to try to ruin Gadget and to take over the world, but as usual Gadget in his zany ways wins.

Penny, the niece of the inspector hais now 16 years old and the dog Sultan is smarter. Marhham, the mayor of Metro City has decided that the town needs a tourist attraction. The mayor believes that their problems will be solved when he finds under the Metro City Jail an egg of a prehistoric giant lizard, in perfect condition. But Dr. Claw and his henchmen steal the egg with the intent to use it for world domination.