A long, long time ago, in the Far West, there was a world called Paradise. This was the origin of civilization and faith, where humans and evil spirits coexisted in peaceful harmony. Suddenly, by a negative spiritual wave spreading over this world, the evil spirits and monsters become violent and begin attacking the humans. Ordered by the Celestial Heavens, a priest named Sanzo recruits his old comrades and sets out for the journey toward Indara in the faraway West to find the culprit behind this disaster

Cheer-Rat (Yaone), one of Kogaiji's followers, wants to please her master. She asks Kogaiji to issue an order to destroy Sanzo's party. Cheer-Rat feels indebted to Kogaiji, who saved her from the monster the "Demon with One Hundred Eyes". Cheer-Rat plans to poison the heroes at a restaurant but hesitates after they save her from two drunken thugs. Cheer-Rat still wants to help her master so she makes a plan.

Awakened from a nightmare, Hakkai thinks about the girl he loved. When Sha Gojyo talks to Hakkai, a puppet controlled by the fortune-teller Chin-Ih-So attacks him and injects Sha Gojyo with the seed of a blood-sucking plant. The seed cannot be removed because it is too close to his heart. Sanzo tries to save Sha Gojyo by shooting the seed out of Sha Gojyo's body with a spirit-blasting gun. Sha Gojyo survives. Goku and White Dragon go out to fetch water and disappear.

Sanzo and his comrades find numerous stoned monsters in a monsters' town called "Tofu-Gai" at the bottom of steep ravines. Goku, Sha-Gojyo and Cho Hakkai turn into stone statues because they are monsters too. Left alone, Sanzo asks a monster woman named Koran how he can save his friends. Koran introduces Sanzo to an old man called Muhan, who governs the town. Sanzo has to find a way to save his friends.

The heroes meet four beautiful sisters. Sanzo is reluctant to befriend them. Soon after they leave the sisters, the heroes discover the sisters want to kill them for saving the life of the eldest sister, who was possessed by a parasitic monster.

Lilin, the young sister of Kogaiji, appears to challenge the heroes. Her trick is "Operation – Meat Bums on the Road", which fails to induce the heroes but surprisingly it works on three stupid monsters, who are defeated by Lilin and become her followers. Ordered by their new boss, they keep meddling in the heroes ways.

The heroes walk into a desolate village and wonder what has happened there. Suddenly, four coffins of sizes equal to those of the heroes are pushed out and an illusion of a creature called The Undertaker appears. The Undertaker shows excessive courtesy to Sanzo and his comrades. Sha Gojyo is upset and Goku is angry. The Undertaker keeps telling disgusting stories, upsetting the heroes.

Five skilled warriors of the Celestial Heavens appear in front of the heroes. They want to take the Sutra of Dark Power from Sanzo and force Son Goku side with them. The warrior attacks Goku and puts him in constant struggle. Goku can dodge, leap, and run out of deadly assaults.

Sanzo's party drop in a town called Saika on the day of Festival of God. They notice that the God the folks worship here is Shien. They do not know why, but Shien comes down to this place today every year. Lilin, a loyal follower of Kogaiji, learns from Ni-Jen-Yi that Shien and tow other Gods took the Hallowed Sutra from Gyokumen-Koshu. Lilin comes up to Saika and wages battle to Shien for the Hallowed SutraŠ.