The Emperor's uncle is found to be involved inn case of embezzlement. However, he seeks help from Lo Tso who helps to prove his innocence. This arouses his anger towards Dan who charges him of such crime. Added to this is his jealousy which drives him to cooperate with lo Teo. The two intrigue against Dan who eventually loses all the trust from the Emperor who is made to believe that Ian is a traitor. At the same time, the Emperor seems to know that Chi is a female and tries whatever means to reveal her true identity but fails. Gradually he grows fond of Chi and wants to make her the queen. Yet his uncle tells his mother that Chi has been brought up in a brothel and this arouses great opposition from the Emperor's mother. Their dream of getting married shatters and they feel very disappointed.