The Swordsman (1990) on Netflix

In the later years of the Ming dynasty, a kung-fu manual known as the sacred scroll is stolen from the Emperor's library, triggering off a power struggle to retrieve it. A young swordsman and his fellow disciple are accidentally drawn into the chaos when they help their teacher deliver a package to the man who stole the scroll. Also involved are a clan of highlanders who use black magic, a sect of sailors, a martial arts school, and court officials. Ultimately, the true colours of the characters are revealed as the story unfolds into a web of betrayal, love, honour, integrity, and friendship which ends with a showdown between the teacher and his eldest disciple.