Consider the principal congruence subgroup
It has finite index because is a finite group. It is torsion-free: by part (b), a finite-order element is conjugate to or , while the reductions of and modulo still have orders and , respectively. Hence no nonidentity power in either vertex group reduces to the identity.
It follows that intersects every conjugate of the two vertex stabilizers trivially, so its action on the Bass-Serre tree is free. A group with a free group action on a tree is a free group. Consequently contains the free subgroup of finite index; equivalently, it is a virtually free group.