Episode 8 of "Smoke" kicks off with Dave Gudsen spiraling out of control. Unmasked as the arsonist behind the D&C inferno, he tears through the town's streets, shaking off his pursuers and igniting six separate blazes. The team remains clueless about his whereabouts, and Steven's words are anything but diplomatic. He's acutely aware that their entire operation could be dissolved if they fail to solve this mystery, and Ezra's snarky remarks aren't exactly calming the waters.
Harvey's arrival in his office sends a clear message, with a cracked picture frame of the lake house prominently displayed on his desk. This detail becomes pivotal, as we later uncover Harvey's years-long scheme of skimming funds while serving as a cop. Facing the brink of retirement, he decided to purchase the lake house as a lavish self-gift. What began as a manageable $5,000 debt soon spiraled into a colossal financial burden due to his insatiable greed. In a heartfelt confession to his daughter later, Harvey acknowledges that this is the leverage Dave holds over him.
Meanwhile, Ashley isn't taking any chances with her partner's safety. She decides to whisk Emmett away to stay with his father, unaware that Dave is actually lurking outside, watching them through the flickering flames of his lighter. Dave's erratic behavior escalates when he brazenly strolls into the station, feigning normalcy. He summons Michelle and claims they need to focus on tackling these fires, only for Calderone to enter, discreetly wearing a wire, intent on extracting a confession.
When Michelle arrives, Dave deftly provokes her by bringing up her intimate relationship with Steven. Unbeknownst to them, Dave is eavesdropping on every word, and they struggle to maintain composure under his scrutiny.
The duo ventures into the scene, where their charade persists, intertwining with a discourse on morality and the delicate line between guilt and innocence. Michelle and Dave delve into this moral quagmire, yet the conversation takes a darker turn when Michelle reveals she has never indulged in the act of burning anything.
Upon arriving at their next fire site, Michelle's surprise knows no bounds upon learning of an eyewitness. A resident of apartment 4C, a lady who claims to have glimpsed someone with short brown hair and fair skin from her bathroom window, emerges as a potential game-changer. Michelle harbors a glimmer of hope that this witness might identify Dave.
However, Dave disrupts her line of thought with probing, intrusive questions about her bathroom routines, effectively throwing her off course. Despite this tactic, the witness refrains from implicating Dave at the scene.
Later, at the diner, the mask slips, and Michelle lambasts Dave, exposing his true colors. Her patience wears thin when he invokes Mercy and her troubled past, prompting her to walk away. Dave, oblivious to her fury, remains steadfast in his self-righteousness, viewing himself as a hero, a man merely fulfilling his duty.
Meanwhile, Reba begins to suspect Dave's innocence, baring a scar on her stomach—a grim reminder of Dave's wax-burning stunt from the previous night. Despite his claim that it wouldn't harm her, the incident has clearly left an indelible mark. With a wry smile, Dave confesses to burning "everything."
Elsewhere, Michelle seeks solace with Steven, where they reminisce fondly about the past, culminating in a passionate encounter. But, as expected, their reunion is short-lived and marred by arguments. In a fit of rage, Michelle strikes Steven in the throat, crushing his windpipe.
Stunned, Michelle stands rooted to the spot, witnessing Steven's desperate gestures for her to alleviate the pressure with a pen. Yet, she remains paralyzed, merely observing as life ebbs from him.
Rather than owning up to her actions, Michelle opts to cover her tracks, meticulously cleaning the scene and erasing any evidence of her presence. She stages the entire incident, framing the mysterious D&C arsonist for burning down the house.
As Michelle pulls away from her house, the fire intensifies, roaring to life and threatening to consume the dwelling in a sea of flames.