William Kelly, approximately 55 years old by 1887, originated from the rugged mountains of Pennsylvania. According to his own confession, he migrated west in 1869, guiding his wife, Kate, and teenage children, Bill (20) and Kit (18) to Kansas. For years, the Kellys roamed along the southern frontier, drifting until they settled in "No Man's Land", the remote strip that later became the Oklahoma Panhandle, about 25 miles from Beaver..

The family established a modest livelihood, initially through cattle raising and later by opening a rural tavern. They hosted travelers and cowboys en route through the desolate region.

Between August and December 1887, a series of travelers mysteriously vanished after passing through the road near the Kelly tavern. Though the disappearances raised quiet whispers, no formal investigation was launched, until a man named S. T. Gregg, a traveler from St. Louis, made a shocking discovery.

When Gregg returned to visit the tavern, he found the property abandoned. A foul stench led him to a hidden cellar where the decomposing bodies of three men were found beneath a trapdoor. Authorities were notified immediately, and search parties, including one led by a cowboy known as “Texy”, began investigating the site.

Eight additional bodies were found buried near the barn, bringing the total to eleven victims. Most were too decomposed for identification, but three were recognized by their clothing: Jim Coven, a local cattleman; J. T. Taylor, a wealthy salesman from Chicago; and a Texas merchant named Johnson. An axe covered in dried flesh and blood was discovered nearby whixh was believed to be the murder weapon.

Shortly after the discovery, reports emerged that the Kelly family had passed through the town of Beaver, Oklahoma, with multiple horses and large sums of money. A 20-man posse was quickly assembled to hunt them down. The chase led to Palo Duro Creek, and eventually Wheeler, Texas.

During the pursuit, Kate Kelly's horse stumbled, throwing her violently to the ground. She died instantly from a broken neck. Minutes later, the posse caught up with Bill and Kit. The siblings were hanged without trial. Just before execution, Kit asked if she should confess; Bill angrily refused, saying the posse should "find out for themselves."

William Kelly managed to flee further but was eventually caught when his horse’s unshod hind hooves left a distinct trail. Upon capture, the posse demanded a confession. Initially, Kelly claimed innocence, but after being hanged briefly and then revived, he broke down and admitted everything.

He revealed that all four family members were complicit in the murders. He pointed out where the money was hidden and admitted to killing nine men and two women. Among his possessions was J. T. Taylor's gold watch, confirming his involvement. With his confession complete, William Kelly was stripped of his belongings and left hanging from a tree..