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You need to find Aleron Loche's house in Bravil. Talk to his wife, Ursanne, and you will discover he owed a lot of money to an Orc usurer called Kurdan gro-Dagol. He's to be found at the Lonely Suitor Lodge, close to her house. Go and find him. He'll say that he knows where Aleron Loche is, but he won't tell you, until you retrieve an axe that is on Fort Grief Island. Tell him you'll go and get it, and he'll provide a boat for you. This is moored at Bravil's dock next to the Magic Shop.
Hop into it and it will take you to Fort Grief. Just inside the fort you will come across Aleron himself. He'll tell you that Kurgan uses the pretext of searching for an axe to lure people into the ruined fort, so that he can play a bizarre hunting sport, and that you, as well as him, are now his prey. To escape you have to defeat the hunters, and find the key to get out of the door by which you entered, which is now sealed. As Aleron is plainly completely exhausted, you have to go on by yourself.
So off you go and knock off the hunters as you find them. Eventually you will kill an Orc Hunter, and get what seems to be the necessary key off his body. Go back to Aleron, and you will find a most unpleasant scene. Kurgan has murdered Aleron, and is standing over his body. You have no choice but to kill him, and when you search his body you'll find the real key to get you out of the place (the other one was a fake).
The boat is still there when you get out, and takes you back to Bravil. You have to go and see Ursanne to tell her the bad news and console her. She gives you a book called the Biography of the Wolf Queen
that she claims might prevent you from going to prison if you show it to a guard if you are ever arrested.