- The 4th of July. Holiday strikes again and murders the Gotham City Coroner, leaving his gun and a mini replica of the Statue of Liberty.
- Bruce Wayne is on a date with Selina Kyle at Wayne Manor. Selina is curious why Bruce doesn't leave Gotham after all that's happened to him, but he is unable to answer. They share a tender moment until the Bat-Signal is activated.
- Batman arrives at the GCPD Headquarters to meet Dent, who says he made a mistake blaming Bruce Wayne and that he has arranged a deal with Sal Maroni, who is going to confess against Carmine Falcone in the next trial. Dent say he is planning to leave the city after Falcone is arrested.
- Sal Maroni is in Gotham Jail, waiting for the trial in which he will confess against Falcone. Sofia Falcone visits him and reminds him that she never betrayed him. Sal and Sofia kiss and Sofia tells Sal that the Dent is their common enemy.
- Meanwhile, at Gordon's house, Gilda Dent tells Barbara that she is worried for Harvey, who has become obsessed with the "Roman case". Shes wants her Harvey back.
- At the Gotham Docks, Gordon and Batman examine the crime scene but find nothing. Catwoman watches from afar. They see some explosions on the skyline, and Batman goes to investigate. It was remote controlled rockets spreading Scarecrow's Fear Toxin.
- One of the rockets explodes at the front door of the Bank Deposit. Scarecrow and The Mad Hatter get inside and being stealing money. Batman arrives and beats up Scarecrow. Catwoman intervenes before the Mad Hatter can shoot Batman. Catwoman doesn't answer when asked why she was following him. Instead she asks Batman to go away with her, but he refuses; he has a job to do. Disappointed, Catwoman leaves.