Two Buddhist monks, the master Bai Yun and his inept disciple Shi Fang are transporting a golden idol of Buddha. On their travels they meet the relatively honorable mercenary Yin. Beset by thieves and ne'er-do-wells in the villages, the monks opt to spend the night at the local temple, which is none other than the Orchid Temple of the first film. Over the next few nights, Shi Fang is visited by Lotus and the two become fond of each other.