In order to sort out the conflicts between the two kung-fu cliques, SUN asks PO and CHEUNG to openly discuss their problems. He finally discovers that the three kung-fu masters of the CHEUNG’s clique are former affiliates of the LAI’s clique. YEE suddenly disappears. He runs to PO’s home to hide away from the ghost. PO reluctantly agrees to keep him. Unfortunately, YEE is eventually frightened to death by the ghost. A reporter comes to interview PO about the ghost murderer. The interview turns out to be an article against the LAI’s clique. PO holds a memorial ceremony for WAN at night. The “ghost” really appears and LUNG arrests him. The arrested “ghost” is actually CHEUNG but CHEUNG claims that he only want to give a lesson to PO and he didn’t kill anybody……