Late at night in the barrio, a teenage girl is cornered in an alley by three punks with mischief on their minds. The falcon appears and knocks out the two henchmen to focus on the leader, Miguel Martinez. Falcon appeals to him to quit drinking and straighten up his life, but Miguel is trapped by despair. The hero takes Maria home and tries to persuade her father not to press charges against Miguel who was drunk; the angry dad says he will consider it.
The next morning, at the site of a housing project under construction, people are lined up for a block to apply for a room. The owner, Daryl Kane wants Sam (Falcon) Wilson to convince the public he isn’t a slumlord. When the building runs out of applications and things start to get ugly, police Sgt Tork restores order with a gunshot and a lecture. Sam responds to Kane that his work is inferior and the buildings will be slums in ten years….
In court, Sam intercedes for Miguel but the judge is inclined to severity in view of Miguel’s record; Maria and her father withdraw the complaint because they trust the Falcon. Then Miguel is fired from his job over the incident…
Later a figure in an armored exo-skeleton calling himself Nemesis is atop the construction project tearing it to pieces. Sgt. Tork confronts him but a shotgun blast is ineffective. Falcon arrives to rescue Tork by knocking the villain to the ground. The hero ties to capture him but Nemesis responds with an electrical discharge that stuns the hero, and then takes off…
That night a drunken Miguel stumbles onto the construction site and finds Nemesis. Later when the villain returns to wreck the building, Falcon beats him into submission with a tank of gas. But then he discovers Miguel chained to an upper story, a parcel of dynamite around his waist. Letting the villain go, Falcon swoops upward, snatches the bomb from Miguel’s’ body and hurls it high into the air where it explodes harmlessly. A damaged Nemesis makes his way to the subway where he hijacks a train for his getaway—but the Falcon comes searing through the tunnels and seizes Nemesis, who is unmasked as Daryl Kane, planning to sabotage his own building for the insurance. With the construction project now delayed indefinitely, Tork asks who the winner was. Falcon replies that it is Miguel, who has sworn off drinking and crime.