Following a news story depicting the demolition of a slum in East London, South Africa, journalist Donald Woods (Kevin Kline) seeking more information about the incident, ventures off to meet black activist Steve Biko (Denzel Washington). Biko has been officially banned by the South African government and is not permitted to leave his defined banning area at King William's Town. Woods is formally against Biko's banning, but is still critical of his political views. Biko invites Woods to visit a black township to see the impoverished conditions and to witness the effect of the government imposed restrictions which make up the apartheid system. Woods begins to agree with Biko's desire for a South Africa where blacks have the same opportunities and freedoms as those enjoyed by the white population. As Woods comes to understand Biko's point of view, a friendship develops between them.

After a political speech at a gathering outside his banning area, Biko is arrested and later beaten to death while in police custody. Woods works to expose the police's complicity in Biko's death. He meets with Jimmy Kruger (John Thaw), the South African Minister of Justice in his house at Pretoria, but his efforts to expose the truth lead to his own banning. Woods and his family are targeted in a campaign of harassment by the security police. He later decides to seek asylum in England to expose the corrupt and racist nature of the South African authorities. After a long trek, Woods is eventually able to escape to the country of Lesotho, disguised as a priest. His wife Wendy (Penelope Wilton) and their family later join him, and are flown to Botswana with the aid of Bruce Haigh (John Hargreaves), a controversial Australian diplomat who uses his diplomatic immunity to help them.

The film's epilogue displays a graphic detailing a long list of anti-apartheid activists (including Steve Biko), who died under suspicious circumstances while imprisoned by the government. Wikipedia.