After nearly a decade of training around the world, Bruce Wayne returns to Gotham and becomes CEO of Wayne Enterprises. Suiting up as Batman for the first time, he finds a city on the brink of a bloody gang war as the powerful Falcone Gang who controlled the city for decades are attacked by the anarchist Red Hood Gang, while the corrupt Police Commissioner Gillian B. Loeb lets them do as they please.
Batman forms an alliance with Lieutenant James Gordon and District Attorney Harvey Dent, and strikes a romance with the mysterious Catwoman, secretly Falcone's daughter. Batman battles both gangs, as well as the pyromaniac mercenary Firefly, who was hired by Falcone to fight for him.
During the ensuing conflict Falcone is killed by the Red Hood, who falls into a vat of chemicals during a fight with Batman. The remnants of the Falcone Gang are taken over by Oswald Cobblepot, while Commissioner Loeb is gunned down by Harvey Dent who pins the crime on the Red Hood, allowing Gordon to succeed him while revealing his secret dark side.