John Harland is a former boxer turned reverend posted to the town of Kangaroo. He falls in love with Muriel, an orphaned heiress, and discovers that her guardian Martin Giles is embezzling her inheritance. Harland earns the ire of parishioners by teaching young boys to box, and Giles manipulates local opinion to have the bishop remove him. Harland rescues a gentleman from a mugging in Sydney who suggests that he go to Kalmaroo where a criminal gang has driven the church out of the area. Harland preaches, and unexpectedly sees Muriel in the congregation; her property is near Kalmaroo. But her overseer is Red Jack Braggan who leads the gang which violently breaks up Harland's mission - much to the distress of Muriel who regards Harland as too timid - and is in cahoots with Giles.

The earliest surviving film featuring Lon Chaney in a major role, By the Sun's Ray's was but one of several 2-reel westerns starring the florid Murdock MacQuarrie. MacQuarrie plays a detective investigating a series of gold shipment robberies. Along the way, he falls for a mine superintendent's pretty daughter (Agnes Vernon), much to the dismay of a sullen mine office clerk (Chaney), who is also smitten with the girl...