A virtuous man, travelling with his wife and family, stopped at an inn a large section of which was locked up and disused because it was haunted by a Yao Kuei. The traveller offered to stay up all night and destroy the ghost, and sitting fearlessly, sword in hand, at about midnight, was confronted by a venerable old gentleman with a long white beard. The armed man rose to his feet, accused the newcomer of being an evil demon and made ready to slay him. The old man smiled and explained that he was not not a Kuei, but the guardian spirit of the district, and had called in person to thank the traveller for his kindness–’Your arrival has disposed of the Yao Kuei…but should they return before morning, have at them with your sword!’ The old gentleman departed and the traveller remained on guard. Soon, a strange black-faced creature entered the room–he struck off its head. Later he had the same experience with a white-faced creature; and so it continued at intervals till cock-crow, when he called the people of the inn to witness his victory. Each brought a lantern and the haunted room was soon filled with light. The walls were splashed and the floor streaming with blood, and there in a heap lay the decapitated corpses of the traveller’s wife, children, and servants. ‘The Yao Kuei has tricked me!’ he cried, and fell dead.

Chinese folk tale, in A Survey of the Occult by John Franklyn, 1935.