King Eystein had been about a year in the east part of the country at that time, and King Sigurd was then in the north. King Eystein remained a long time that winter in Sarpsborg. There was once a powerful and rich bonde called O1af of Dal, who dwelt in Great Dal in Aumord, and had two children, — a son called Hakon Fauk, and a daughter called Borghild, who was a very beautiful girl, and prudent, and well skilled in many things.
Olaf and his children were a long time in winter in Sarpsborg, and Borghild conversed very often with King Eystein; so that many reports were spread about their friendship. The following summer King Eystein went north, and King Sigurd came eastward, where he remained all winter, and was long in Konungahella, which town he greatly enlarged and improved. He built there a great castle of turf and stone, dug a great ditch around it, and built a church and several houses within the castle.
The holy cross he allowed to remain at Konungahella, and therein did not fulfill the oath he had taken in Palestine; but, on the other hand, he established tithe, and most of the other things to which he had bound himself by oath. The reason of his keeping the cross east at the frontier of the country was, that he thought it would be a protection to all the land; but it proved the greatest misfortune to place this relic within the power of the heathens, as it afterwards turned out.
When Borghild, Olaf's daughter, heard it whispered that people talked ill of her conversations and intimacy with King Eystein, she went to Sarpsborg; and after suitable fasts she carried the iron as proof of her innocence, and cleared herself thereby fully from all offence.
When King Sigurd heard this, he rode one day as far as usually was two days' travelling, and came to Dal to Olaf, where he remained all night, made Borghild his concubine, and took her away with him. They had a son, who was called Magnus, and he was sent immediately to Halogaland, to be fostered at Bjarkey by Vidkun Jonson; and he was brought up there. Magnus grew up to be the handsomest man that could be seen, and was very soon stout and strong.