Gene Savage, the ""dirty"" cop Palermo testified against early in his career, is out of jail and back in business with an arcade on the boardwalk. Savage does everything he can -- including hiring Palermo's girlfriend as a bookkeeper -- to pull Palermo into an altercation, then hands the incriminating security tape over to Internal Affairs. Later, a man is found dead on the beach, and Palermo's back-up revolver, stolen during a robbery, is the murder weapon. A teenage bike thief that T.C. and Victor have been chasing is a witness to the murder, but refuses to cooperate.

A member of a ""Good Samaritans"" group similar to the ""Red Berets"" sports a beret and a huge crush on Cory. Despite her warnings against vigilante behavior, he almost gets his partner killed chasing a drug dealer. Cory must find him before he seeks retribution.