As nightclub co-owner, Carlito declines several offers for a business partnership with a hot-headed young gangster from the Bronx named Benny Blanco. Carlito also rekindles his romance with his former girlfriend Gail, a ballet dancer moonlighting as a stripper. Kleinfeld develops a love interest with Benny's girlfriend, Steffie, a waitress at the club. Benny's frustration with Carlito's constant rejections boils over and he confronts Carlito one night at his table. Carlito publicly humiliates Benny, who reacts by manhandling Steffie. Fueled by his now-extensive use of alcohol and cocaine, Kleinfeld brazenly pulls out a gun and threatens to kill Benny, but Carlito intervenes. Despite being personally threatened by Benny himself, Carlito lets him go unharmed; a decision which alienates Carlito's bodyguard Pachanga.