The movie opens to a narration detailing the poor economic state of a gang-ridden Gary. The narrator explains to the audience of how the city came into such a state. After the opening narrative, the scene switches to the base of operations for the ''Rebels'', a local street gang, and a one-on-one basketball game between a Rebel gang member and a local boy named Kenny Thompson. Kenny humiliates the Rebel by winning and taking the gambled winnings for his own. After he leaves, Spyro, the current co-leader of the Rebels (opposite Damien) is under the impression that Kenny's skills are something more than "something he picked up." He instructs his lieutenant, Kayo, to exact retribution on Kenny for being hustled.
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