His name is Dragoon, and he is one of four trapped spirits in this level.
Your objective: reveal the identity of the mortal attempting to master the Dragoon.
A hidden spirit, Stormtalon, is hidden in this tree.
A third trapped spirit, Scarecrow, is fettered in this field.
Click on Scarecrow and he'll tell you that he needs the touch of blood to be set free.
Lastly, the fourth trapped spirit, Black Crow, is found inside this shack.
Black Crow instructs you to destroy the cabin so he may be set free.
Let's start with the hidden spirit, Stormtalon. You need to build a storm. Here, Weatherwitch is casting Rain, Whisperwind is casting Tempest, Aether is casting Gathering Winds, and Raindancer (indicated) is also casting Rain.
It may take some time and patience, but eventually the tree will be struck by lightning, setting Stormtalon free.
You are notified of nefarious deeds transpiring within the windmill.
Inside the Windmill is Earl Walton. Your spirits' wind powers have started the windmill turning, which knocks Earls' ceremonial skull onto the ground.
The winds also knock down the shack, freeing Black Crow.
Now, to free Scarecrow. Here, Harriet is bound next to Scarecrow and casting Fascinate. Once one of the children is lured into the field, bind Hard Boiled to them.
Have Hard Boiled cast Gushing Blood, and the area floods with blood.
Once the blood reaches Scarecrow, he is set free.
Back to Earl Walton's nefarious deeds. Bind Harriet near this window in the Windmill and cast Fascinate. Once someone comes by to see what Earl is up to, have Black Crow cast Possess.
Earl orders Dragoon after the mortal, but Black Crow's possession will prevent the mortal from being frightened away.
Instead, the mortal will run indoors and alert the other mortals to Earl's misdeeds.
The mortal returns to the Windmill and shouts through the window at Earl.
Earl flees the windmill and is given a tongue-lashing.
The mortal carries the skull into the woods...
...and returns it to its resting place.
The Dragoon is now free! The skull was the skull of the headless horseman!
Lastly, you must concentrate on scaring off Earl Walton. Black Crow's Buried Alive finishes him off nicely to complete the level.