The shootout turns into a hostage situation and everyone is up in arms.

Luke struggles to get Misty out of harms way and barricades them both in the kitchen of Harlem’s Paradise. While most of the people from the rally flee, Diamondback takes the stragglers as hostages, deciding to stay and take out Cage and Misty, despite Shades’ objections. He puts the word out that Luke is the hostage taker, communicating through councilman Boone. Diamondback decides to try to control the story by killing Luke and Misty and blaming the whole thing on Luke going crazy and needing to be taken out. 

Luke tries to keep Misty from bleeding out in the kitchen, and won’t leave her. He takes her down into a secret prohibition room under the kitchen to hide out while they work on a plan, and fills her in on the situation with Diamondback. They get downstairs right as Diamondback launches a massive grenade to blow away the barricade, which brings the cops crashing down on them as Inspector Ridley tries to keep them from going ballistic. Mariah starts working the mayor over on the gun deal, putting Judas-minis in the hands of the cops, but Ridley is worried about what will happen if they start to use them and they get out on the street.

Claire, captured with the other hostages, starts to tend to a wounded Candace, who confesses to her part in everything that led to this and says that she’s ready to tell the cops as well. She tells Claire about the secret room and that its next to the employee lockers, and helps Claire make a diversion so that she can get down there and help show Luke the way out. Once she finds him she starts tending to Misty while Luke tries to get the hostages out. While he’s doing that, Diamondback relates the story of his childhood and lays out his motivations to Boone, before putting on his power glove and crushing his chest. They throw his body outside, and its the last straw for the cops, now convinced that they need the new weapons to take Luke down and need to go in fast. Before they can do that, Luke frees the rest of the hostages, diffusing most of the situation.

Diamondback continues to hold Candace, though, off of a balcony, and offers Luke a choice, he can run and hide from the cops, or try to save her life. He rushes forward to grab her and shield her from Diamondback’s bullets before running into the cops and being forced to stand down.

Misty tells Ridley the truth about Luke and Diamondback as she’s wheeled to an ambulance. Shades and most of the other gangsters get arrested, but Diamondback and Zip manage to make their escape.