Sprite hobbling around holding ring (9)
I believe the answer is:
hobgoblin
'sprite' is the definition.
(I've seen this before)
'hobbling around holding ring' is the wordplay.
'around' indicates an anagram.
'holding' is an insertion indicator.
'ring' becomes 'O' (letter resembling a ring).
'hobbling' with letters rearranged gives 'hbgoblin'.
'hbgoblin' going around 'o' is 'HOBGOBLIN'.
(Other definitions for hobgoblin that I've seen before include "Mischievous 17 across" , "Evil creature" , "Evil fairy" , "Fairytale character" , "Mischievous imp" .)