At a manor in Sarajevo, Ra's al Ghul ruefully realizes his mistake in allying himself with the Joker, while his assistant informs him that the Joker has captured Jason Todd, the second Robin. In a warehouse, the Joker brutally beats Jason with a crowbar while Batman races there. Joker then leaves the warehouse and traps a half-dead Jason inside. Although Jason attempts to escape, a planted explosive destroys the building before Batman can rescue Jason. Five years later in Gotham City, a masked criminal known as Red Hood takes command of the drug trade, assuring eight prominent drug lords protection from Batman and crime boss Black Mask in return. Elsewhere, Batman intercepts a stolen truck carrying Amazo, an android weapon, and Nightwing arrives to help take it down. The drivers reveal they were under Red Hood’s orders before being assassinated by their employer. Batman gives chase and eventually ends up at the chemical plant that created the Joker, who was the original Red Hood. The current Red Hood confronts Batman and comments, before escaping, that it is the site of Batman's first great failure. Regrouping, Batman and Nightwing check on the Red Hood's movements; since the Red Hood had appeared, drug trafficking is high, but crime as a whole is down in Gotham. Afterward, they interrogate the Joker at Arkham Asylum about Red Hood; the clown merely taunts them with Jason's death and denies involvement. Angered over his stolen android, Black Mask puts out a hit on Red Hood, who promptly hijacks another weapon shipment, with Batman and Nightwing interrupting. During a chase over the city rooftops, Red Hood displays physical skills similar to Batman and Nightwing's. Red Hood then eludes them at a train station, where a planted bomb explodes and injures Nightwing's leg. Back at the Batcave, Batman sends Nightwing home and then discovers Red Hood knows his secret identity.