Skingrad is a strange 'ol town, isn't it? It has a secretive count, no crime, a lovely castle and, perhaps, a grand conspiracy against an innocent elf everybody labelled eccentric and crazy.
As most Oblivion Remastered players will know, upon entering Skingrad, a strange bosmer named Glarthir will approach the player and request a meeting behind the chapel at midnight. This is how the quest Paranoia, and every good story, starts.
There's no doubt that Glarthir is somewhat paranoid—he suspects every secret society in Nirn is responsible for spying on him. He name-drops the Marukhati Selective, Ayleid Revivalists, Mythic Dawn and Blades as potential perpetrators of a conspiracy against him.
Accusing all of these important groups of spying on him certainly betrays delusions of grandeur, but that doesn't mean that nothing fishy is going on. Glarthir is intentionally presented as a kook, so the player doesn't look any deeper into what's really happening in Skingrad, or so says DickBallsley, who has presented a theory about what's truly happening in the town.
The theorist immediately clarifies that he believes Bernadette Peneles is a red herring, a case of Glarthir actually being paranoid as a result of real threats from the...