After a mysterious death from an accidental fall, an elderly woman Li in New Estate returns as an apparition on the legendary soul-returning night, causing a tumult to Security Captain Lo Hsiung and others. Ghost exorcist Leon (Stephen Chow) overpowers the ghost, winning the admiration of a young lady Chun (Karen Mok). Meanwhile, learning that the old woman’s own son Li (Chou Hui) and his wife are the killers, Leon promises to nab the couple to appease the spirit. In an attempt to kill Leon and the Security Captain, Li falls to his death. His wife kills herself, vowing to return on the soul-returning night to exact vengeance. When Lo and others fail to wipe out the spirits of the deceased Li couple before the 7-day deadline, Leon has to meet their challenge himself. On the hour of the duel, when Leon nearly gets knocked down, the deceased couple’s young son and the spirit of their late mother appear to engineer a reconciliation. The boy is then left in the custody of Leon and others.