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After asking around with some of the merchants the name "Sneaks" keeps coming up. Apparently he is a greasy fellow that seems to know a little bit about everything that is going on. You are told that you may be able to find Sneaks in the dungeons below some old ruins that a number of goblinoids call home.

You will find Sneaks in the main quest room.

If you make Sneaks helpless (pg. 197 CRB):

"Wait, wait!", pleaded Sneaks. "I have important information that you'lls want to hear. Verenkilar has been working with a despicable drow named Houndaer. I won't lie to you! I don't know where Verenkilar sleeps, but Houndaer knows!" With a little prodding Sneaks then proceeds to tell you where you can find Houndaer.

If you then succeed on an intimidate check against Sneaks:

"I lied, I lied. Don't hurt me! Verenkilar sleeps on the North side of the mountain. I don't know where exactly, but I saw him slinking off that way!"

For the added information you gain an additional 3 evidence towards finding Verenkilar.

On success the heroes get Sneaks's weapons as well as a roll on the treasure chart.

From here you can: