Duncan broke up with Veronica and stopped talking to her with no explanation. Lilly refused to explain to Veronica what went wrong. Shortly afterwards, Lilly was found murdered at the side of her family's pool. Sheriff Keith Mars accused Lilly's father, Neptune beloved software entrepreneur Jake Kane, of involvement in the murder. The citizens of Neptune were horrified and Keith quickly found himself voted out of office and turned into a pariah by the wealthy 09er community. Keith's credibility took another blow when his replacement as Sheriff, former Deputy Sheriff Don Lamb, arrested disgruntled former Kane Software employee Abel Koontz, who confessed to Lilly's murder.