"Many strange things may be seen in the Great Swamps, not all real. But I tell you, there was a ship and it was real! Well it was old and all sails torn and had many holes in the hull... but anyway it was hundreds of miles from the Sea! How it came to be there, I can only wonder..."
(If it is not a hallucination, may be inhabited by wererats.)
There is a person who has a well-known reputation, probably involving something illegal. But this person is either very clever and crafty, or really like his or her privacy, for no one knows who this person actually is. As an added twist, perhaps this person is of an age that would noramlly be wildly inappropriate (say, a child is a much-feared bandit) or maybe not the expected gender or even race.