An undercover cop Chan Kam-Wah, investigating a group of jewelry thieves, is killed by three attackers. Inspector Lau assigns Ko Chow, another undercover officer, to continue the investigation. Chow hesitates due to a past experience where he betrayed a friend during an undercover mission. The thieves attempt to rob a jewelry factory but are interrupted by the police, which ends with one of the robbers killing a police officer. A task force led by Inspector John Chiao Chi is formed to investigate the gang, sparking a rivalry between Chan and Lau.
Chow offers the gang weapons for sale through Tai Song, a middleman, but is followed by Chan's team during the meeting. Chow successfully plants a recording device on himself and arranges to meet the gang again. Chow's girlfriend, Hung, plans to leave with another man, Tso, to Canada. Chow tries to stop her and proposes marriage, but she challenges him to prove his sincerity by meeting her at the registry office the next day. Due to Chow getting tailed by Chan's men, he is unable to arrive. He is rescued by gang member Fu, who takes him to the weapons deal. There, gang leader Nam invites Chow to join an upcoming jewelry heist.
Fu then drives Chow to the airport, where he attempts to stop Hung from departing Hong Kong with Tso. As he approaches Hung at the gate, Chow is arrested by Chan's team for the weapons deal. Chow is tortured by Chan's men, but Lau intervenes and suggests that Chow participates in the gang's planned robbery to catch them in the act. The police are unaware of which jewelry store the gang will target, but have multiple teams ready on standby. Chow spends time with the gang before the heist, growing closer to Fu. Nam designates the Tai Kong jewelry store as their target.
During the heist, a shootout occurs, and gang members Bill and Joe are killed. Chow realizes that Fu is the one responsible for killing the officer during the jewelry factory heist. Chow, Fu and gang members Skinny and Big Song escape to a hideout at the harbor, and Chow is mortally wounded in the process. Nam accuses Chow of being an informant, but Fu defends him, initiating a Mexican standoff. The police then arrive and open fire on the hideout, killing Big Song. Nam then kills Skinny for attempting to surrender, but is shot dead by Fu and Chow before he can kill them as well. Chow confesses to Fu that he's an undercover cop and asks for a quick death. However, Fu can't bring himself to do it. The police breach the hideout, and in the ensuing confrontation, Chow dies from his wound. Fu is arrested, and Inspector Lau is devastated by Chow's death and hits Inspector Chan over the head with a brick for his arrogance and actions.