Fearing the growing threat of Shaolin, the cradle of kung fu masters, Chien Lung decides to eliminate it.

Pai Mei stops Tse Shan and his pupils from getting out of the staircase. Shih-yu suggests that Pei let them leave if they should fight up to its top, and Pai Mei agrees.

The Chief offers to execute himself to relieve Shih-kuan, and the latter stops him. The Chief suffers only slight bruises. Shih-kuan then promises to place himself at the disposal of the Tien Ti Society after rebuilding Shaolin to avenge Tse Shan.

Aborted in their attempt on the life of Chin-chung, Hsi-kuan, Shih-yu and, Hui-chien are surrounded by soldiers. Hsi-kuan resists; hit by arrows, he suffers injury in the leg. Shih-yu and Hui-chien combine to bring him to safety.

Chin-chung leads men to besiege the Hus, intending to kill Tsui-ping. To avoid getting Yu-ping and Yu-nu involved, Hsi-kuan decides to turn himself up in exchange for Chin-chung's promise to release the two. Chin-chung reneges on his promise by having Yu-nu escorted away and then molests Yu-ping, forcing Hsi-kuan to reveal the whereabouts of Shih-yu and Hui-chien. Furious, Hsi-kuan stands up to kill the enemy and eventually succeds in rescuing Yu-ping.

Yu-ping is getting critical in heart trouble resulting from childbirth. Hsi-kuan moves heaven and earth transporting her and her, baby to town for treatment by a doctor.

Hsi-kuan escorts Yu-ping and her son to Canton. They put up in an inn. As he is running out of travel expenses, he is uncivilly treated, but for the sake of them, Hsi-kuan has to endure it. The baby also keeps crying the whole night, much to the anguish of Hsi-kuan.

On his way back to the inn, Hsi-kuan is tailed by Chin-chung's men. Hsi-kuan returns to the inn after getting away from them. He is delighted to have a reunion with Hui-chien and Shih-yu.

Finding Yu-nu still alive, Shih-yu tries to rescue her, but the soldiers arrive to surround him. Hsi-kuan arrives to take Shih-yu away.

Hsi-kuan tries to convince Shih-yu of the importance of rebuilding Shaolin for the sake of righteousness. Unimpressed, Shih-yu determines to kill Chien Lung, but he escapes, when Hsi-kuan tries hard to stop him. Furious, Shih-yu decides to break with

To protect Yu-ping and her son, Hui-chien gives himself up, but Chin-chung still sends men to pursue them. In the nick of time, Yu-ping hides Wen-ting in the wood, then lures the soldiers away, but eventually gets captured.

Disguised under the name of Lin Wang, Hui-chien rescues Ao Kun's daughter and son-in-law. In gratitude, the couple allows Hui-chien to work in the Ao family.

Shih-yu craftily breaks the siege. Chien Lung is furious, and offers the reward of gold and an official title to anyone for the capture of Shih-yu. This stirs up a capturing fever in the Capital. Undaunted with sophisticated martial arts, Shih-yu heroically preaches righteousness to a group of mercenaries trying to capture him, earning him much admiration.

Chin-chung interrogates Chi under torture, but he won't reveal anything. Chin-chung kills Chi and his son, then goes away. Mei is grief-stricken. Hsi-kuan feels deeply sorry for having got them involved, and takes Mei to go on the journey.

Yung Chi arrests Hsi-kuan. Chien Lung tries him personally, but still remembering the past favour of his having saved him, he not only grants him an amnesty but allows him to meet Hui-chien.

Hsi-kuan takes Wen-ting and Mei back to live in the Hungs in the Feng Mei Village. The villagers suspect a special relationship between Hsi-kuan and Mei, and gossips go around, much to the embarrassment of Mei.

The rescue of Wen-ting by Hsi-kuan greatly angers Village Chief Li. On taking Wen-ting home, Hsi-kuan interrogates him, and lets him go only after learning that he killed for self- defence only.

Hsi-kuan beats the Russian boxer, winning back much pride for the Chinese. He earns much acclaim from Chien Lung, who names the boxing invented by him the Hung boxing. When he returns to Canton, Chien Lung presents him a blade, but he takes only the tassel tied to it as souvenir.

In an aborted attempt to kill Hsi-kuan, Chin-chung deliberately creates an opportunity for him to break jail to trap him, but Hsi-kuan is not taken in.

After Hsi-kuan has beaten the knights from six nations, Chien Lung agrees to the rebuilding of the Shaolin Temple, as insisted upon by Hsi-kuan.