Sonic now finds himself on The Floating Island, between captain of the Royal Guard Geoffry St. Jon and guardian of the Floating Island Knuckles the Echidna. A three-way battle ensues between them before Sonic is finally captured by a cloaked Espio the Chameleon. Sonic is bailed out by Dulcy the Dragon, who reveals that it is physically impossible for Dragons to tell lies - making her a living lie-detector. She informs Knuckles and Geoffry that yes, Sonic is telling the truth about his innocence.
The trio head back to Knothole where they discover Dr. Robotnik's scheme. After freeing the Freedom Fighters and taking the traitorous Drago in to custody, Sonic speeds off to Robotropolis to confront Dr. Robotnik in person and make him pay for what's happened to the Princess.
Forgoing the typical pleasantries, the pair fight hand-to-hand in Robotnik's cramped command center. Sonic and Robotnik are matching each other blow-for-blow, completely thrashing the control room. The battle is temporarily broken up by the destruction of Robotnik's Ultimate Annihilator weapon - sabotage by Freedom Fighters who followed Sonic to Robotropolis. The explosion triggers a matter-erasing singularity that engulfs the control room, taking Sonic and Robotnik with it. Once the smoke clears, however, Sonic discovers he has mysteriously survived - although Robotnik has not. Bewildered, he returns to Knothole Village to be greeted by Princess Sally, who has pulled through and made a full recovery.