In 1972 Cleveland, Ohio, young Russell Stevens, Jr. witnesses his drug addicted father holding up a liquor store and shooting the clerk. As he flees the store, Russell’s father is shot dead. Twenty years later, Russell has joined the police force, vowing never to become like his father. However, a psychological examination reveals him to have a criminal mindset, and he is recruited to take part in an undercover investigation of drug lord Anton Gallegos. Despite the fact that he has never done drugs or drunk alcohol, Russell is sent by his new boss, Gerald “Jerry” Carver, to Los Angeles, California, to pose as a drug dealer named “John Q. Hull.” His objective is to take down the illegal cocaine ring headed by Gallegos, and linked to Gallegos’s uncle, Latin American politician Hector Guzman. Arriving in Los Angeles, Russell rents a room at the seedy Hastings Hotel. He notices Belinda, a crack cocaine addict who lives across the hall, and her neglected son, Jimmy. Russell establishes himself as a small-time drug dealer, and takes care of Jimmy by giving him money for food. After going into business with Eddie, an erratic, drug-addicted dealer who gives Russell’s name to police, Russell is targeted in a sting operation. He is arrested for making a large purchase of cocaine, but is saved by David Jason, a corrupt attorney who proves that the drugs Russell bought were actually baby laxatives. Russell agrees to team with David Jason, who plans to build a new drug empire with a synthetic form of cocaine currently in development. In the meantime, Russell takes Eddie’s place in the drug ring, answering directly to Anton Gallegos’s operative, Felix Barbosa. With Jason as his partner, Russell becomes a highly successful dealer. Jerry Carver advises him to move into a nice house and purchase an expensive car, and Russell begins to enjoy the spoils of his criminal behavior. One day, he witnesses one of his underlings getting shot by rival drug dealer “Ivy.” Jason urges him to retaliate. Russell is conflicted, but ultimately stalks Ivy in a nightclub and shoots him dead in the bathroom. Jason introduces Russell to Betty McCutcheon, who runs an art gallery through which Jason launders his drug money. Russell begins dating Betty, and becomes increasingly ambitious in his plan to take down Gallegos and Guzman. He aims to purchase drugs from Gallegos directly, instead of going through Felix Barbosa. At a celebratory dinner, Barbosa senses David Jason’s disloyalty and beats him. Barbosa then enlists Hernandez, a corrupt policeman, to set up a drug bust that exposes Jason, Russell, and Betty. Russell gets word of the plan from Carver, who commands him to abandon Jason and Betty before the bust. Worried that he will lose his connection to Gallegos if Jason goes to jail, Russell disobeys Carver’s orders and accompanies Jason and Betty to an empty parking lot where Barbosa awaits. Russell claims not to trust Barbosa, and finds a wiretap on his tie. Police descend, but Russell, Jason, and Betty narrowly escape in a limousine, taking Barbosa hostage. Jason exacts revenge against Barbosa by shooting his knuckles and pushing him out of the moving car. Barbosa is hit by a police car, and killed. Later, Gallegos informs Russell and Jason that Barbosa owed $1.8 million, and they are now responsible for his debts. He gives them three days to pay him back. Meanwhile, Carver forbids Russell from going any further with the investigation. Russell learns that the federal government no longer wishes to incriminate Hector Guzman for political reasons, but he defiantly sticks with his plan. He and Jason deliver only $1.1 million to Gallegos, which prompts a gunfight. They shoot and kill Gallegos and his two guards. Afterward, the two rob a van transporting an estimated $100 million in cash. Russell tells the driver, who works for Hector Guzman, that the money will be held hostage until Guzman agrees to meet. Police detective Taft, Hernandez’s upright partner, follows Russell and Jason to the shipping dock where they have arranged to meet Guzman, and calls for backup when the politician arrives. Russell and Jason propose the following deal: they will return eighty percent of Guzman’s money, and keep the other twenty percent as an investment on their synthetic cocaine venture. Guzman agrees just as one of his men discovers Taft. Before the deal can be finalized, Guzman and his men leave, without their money. Taft cannot arrest them due to Guzman’s diplomatic status, but he goes after Russell and Jason. When Russell confesses to being an undercover policeman, Jason shoots Taft dead and points his gun at Russell, but Russell is quicker on the draw, and shoots Jason dead. Shortly after, a subcommittee is arranged to investigate Russell’s undercover activities. Carver forbids him from denigrating the police force, and threatens to have Betty charged with fraud if not. During the interrogation, Russell claims his operation was nearly successful, then presents a videotape of his meeting with Guzman, a political ally to the U.S. An uproar ensues. Russell walks out with Betty, but is hounded by reporters, asking about his accusations against Guzman. Catching up with Russell, Carver demands to know what happened to Guzman’s money. Russell kicks him in the groin and leaves. Sometime later, Russell and Betty go to a graveyard with Russell’s former neighbor, Jimmy, whose mother recently died of a crack cocaine overdose. Russell leaves a wad of bloody cash on the grave, and contemplates the $11 million he stole from Guzman’s van. Even though it was wrong, Russell believes it would have been foolish to turn the money in to the authorities.