[Act II, Scene XI] The Kobold Kaverns
After equipping the unexpected guests with the weapons and knowledge to clear the mine of the basilisks once and for all, the mysterious creature of Law slithers back into its radiant cavern and returns to its peaceful contemplation.
The party continues spiraling downward, following the rails of that deadly machine that murdered your companions.
They find another staging area. Judging from the shattered rocks on the tracks, the kobolds must have had the machine's furnace running as a fireplace, and were taken off guard when the switched rail sent the machine and the entire tribe barreling upwards towards their doom.
There are chunks of statuary scattered about everywhere; of animals, humanoids, and probably gnomes. There's one statue still intact, however. The kobolds seem to have put it to good use, as its covered with snake skins, crab-spider shells, and rat pelts being left to dry.
After doing the unsavory work of removing the litter, the party realizes that this statue is that of a human. The lack of armor, the sole dagger at the belt, the slung backpack almost certainly laden with a spellbook within; add to that the open mouthed frozen pose of horror on his face, all sure signs that is an adventurer who stumbled up onto the wrong end of a basilisk.