HUNG is very upset in learning of the internal strife between the two factions: the 'Dirty Clothes' and 'Clean Clothes' in the Beggar's Clan. In order to investigate who are the black sheep, he sends CHAU to go undercover in the Clan. Meanwhile, he requests YUNG to succeed him as the leader, and asks her to go to Ngok Chau to host for him the Annual Beggar's Meet. YUNG and CHING set off immediately.

HONG has always been covetous in being the leader of the Beggar's Clan. He gangs up with PANG, one of the four elders in the Clan, and disguises himself as a beggar to attend the Meet. When YUNG is about to take over the post, he suddenly appears with HUNG's 'Beat Dog Cudgel', which he has picked up incidentally, and claims that he is the actual successor chosen by HUNG. Furthermore, he accuses WONG to have killed HUNG in order to stir up troubles among the masses.