After following Maxie Jones to Nixon Falls, Peter August entered the Tan-O, where he found Nina Reeves and, surprisingly, Sonny Corinthos. He then blackmailed Nina, threatening to expose that "Mike" was really Sonny if she didn't help him find his and Maxie's baby. Nina called her aunt Liesel Obrecht (Kathleen Gati), pleading for help (via Soaps).
In Port Charles, Josslyn Jacks made dinner for her dad Jasper "Jax" Jacks using the sauce Trina Robinson acquired in Nixon Falls, per Soap Central. Josslyn thought it tasted just like Sonny's marinara, which triggered Jax's memory of seeing "Mike." Jax decided to return to Nixon Falls and was shocked to see Sonny alive and well. Jax confronted Nina about her deception, appealing to her benevolence and chastizing her for lying to Sonny and his grief-stricken family (via Canyon News). Jax asked "Mike" about his past, and the other man replied that he didn't care who he was before and just wanted to be with Nina.
Peter then returned to Nixon Falls for revenge after realizing Nina and Liesl had deceived him. He tied Nina and Phyllis to chairs, revealed "Mike's" secret, and then set the Tan-O on fire before escaping (via Daytime Confidential). Per Michael Fairman TV, "Mike" ran in, rescuing the women. However, part of the ceiling collapsed and knocked him out. As "Mike" woke up in the blaze, his memories started returning, and a vision of his father appeared, telling him he could die as this fake persona or choose to go back to his old life.
"Mike" decided to live, regained his memories as Sonny, and escaped the inferno.