Li T’ieh-kuai, depicted always with his crutch and gourd full of magic medicines, was of the family name of Li, his own name being Li Yuean (Hs’uean, now read Yuean).  He is also known as K’ung-mu.  Hsi Wang Mu cured him of an ulcer on the leg and taught him the art of becoming immortal.  He was canonized as Rector of the East.  He is said to have been of commanding stature and dignified mien, devoting himself solely to the study of Taoist lore.  Hsi Wang Mu made him a present of an iron crutch, and sent him to the capital to teach the doctrine of immortality to Han Chung-li.

He is also identified with Li Ning-yang, to whom Lao Tzu descended from Heaven in order to instruct him in the wisdom of the gods.  Soon after he had completed his course of instruction his soul left his body to go on a visit to Hua Shan.  Some say he was summoned by Lao Tzu, others that Lao Tzu engaged him as escort to the countries of Hsi Yue.  He left his disciple Lang Ling in charge of his body, saying that if he did not return within seven days he was to have the body cremated.  Unfortunately, when only six days had elapsed the disciple was called away to the death-bed of his mother.  In order to be able to leave at once he cremated the body forthwith, and when the soul returned it found only a heap of ashes.  Some say the body was not cremated, but only became devitalized through neglect or through being uninhabited for so long a time.  The object of the setting of the watch was not only to prevent injury to or theft of the body, but also to prevent any other soul from taking up its abode in it.

In a forest near by a beggar had just died of hunger.  Finding this corpse untenanted, the wandering spirit entered it through the temples, and made off.  When he found that his head was long and pointed, his face black, his beard and hair woolly and dishevelled, his eyes of gigantic size, and one of his legs lame, he wished to get out of this vile body; but Lao Tzu advised him not to make the attempt and gave him a gold band to keep his hair in order, and an iron crutch to help his lame leg.  On lifting his hand to his eyes, he found they were as large as buckles.  That is why he was called Li K’ung-mu, ‘Li Hollow Eyes.’  Popularly he is known as Li T’ieh-kuai, ‘Li with the Iron Crutch.’  No precise period seems to be assigned to his career on earth, though one tradition places him in the Yuean dynasty.  Another account says that he was changed into a dragon, and in that form ascended to Heaven.

Elsewhere it is related that T’ieh-kuai, after entering the body of the lame beggar, benevolently proceeded to revive the mother of Yang, his negligent disciple.  Leaning on his iron staff and carrying a gourd of medicines on his back he went to Yang’s house, where preparations were being made for the funeral.  The contents of the gourd, poured into the mouth, revived the dead woman.  He then made himself known, and, giving Yang another pill, vanished in a gust of wind.  Two hundred years later he effected the immortalization of his disciple.