Best friends Matt Rossi and Nicky Parzeno run a management company for Manhattan’s best exotic dancers, managing and booking their clients into clubs across the borough. Rossi was once in a relationship with their top client Loretta, but they broke it off due to his emotional coldness, by his accidentally killing an opponent in the ring during his days as a professional boxer. One night, one of their dancers is targeted by a brutal assailant who beats and mutilates her. Rossi and Parzeno immediately suspect rival promoter Lou Goldstein, but he vehemently denies any involvement. Vice Detective Al Wheeler is put on the case, displaying nothing but contempt towards Rossi and his colleagues and their occupation, and convinced that they know more than they’re letting on. Soon, more dancers are attacked, including Loretta’s lover Leila, leaving Rossi and Parzeno’s clients unwilling to work for fear of being targeted. Rossi and Loretta slowly begin to rekindle their relationship, while Wheeler begins to suspect that the attacks may not be gang-related, but instead the work of a single person. When another dancer is killed in her own apartment, Rossi and Parzeno’s business is left effectively destitute, with the majority of their clients refusing to work. Loretta begins a downward spiral into drug addiction after Leila dies of her injuries in the hospital. Rossi and Parzeno stalk and attack a man in one of their clubs, mistakenly believing he’s the killer, and drawing the ire of Wheeler in the process. While Matt is harshly interrogated by the Detective, Parzeno and his girlfriend Ruby are ambushed by the killer. They manage to fend him off long enough for help to arrive, but Parzeno is severely injured and hospitalized in the process. Hungry for vengeance and seeking guidance, Rossi visits a local mafioso named Carmine, with whom he built omerta many years ago when he witnessed him kill someone in a drive-by shooting. Carmine tells Rossi in no uncertain terms to find the assailant and kill him, and Rossi begins preparing himself for the inevitable encounter. When Loretta asks Ruby for money, Ruby gives her cab fare, and directs her to go straight home. However, Loretta takes the money to her dealer, where she discovers his body hanging in an alley. The attacker, laying in wait, stabs Loretta in the leg before Rossi arrives, and a fight ensues. Loretta goes for help as Matt takes several hits. When Matt exercises his boxing skills, he defeats the attacker. Police officers arrive to discover that Matt has beaten the man to death. Wheeler acknowledges Matt’s heroism, and sends him home with Loretta.
The film received mixed reviews from critics. On review aggregatorRotten Tomatoes, the film holds an approval rating of 67% based on 9 reviews, with an average rating of 6.0/10. The New York Timesfilm criticJanet Maslin said "Fear City also showcases Mr. Ferrara's skill with action scenes and with nonverbal narration." Maslin continues and describes "Mr. Ferrara's visual talent for the unexpected is not matched by an equivalent gift for character development, but Fear City doesn't attempt to make personality its strong suit. Its biggest selling points, quick pacing and a bright, hard-edged look, are as much as the genre requires." For the Chicago TribuneGene Siskel criticized the soulfulness of the characters as "Fear City is concerned only with surface thrills--exotic dancers, the martial arts, knife attacks and knockout punches."