This paper focuses on the reexamination of Lee Chiao’s debut historical novel, "Friends at Xilai Temple" (Jieyi Xilai’an 結義西來庵) (1977). By revisiting the character dynamics and narrative structure within the context of textual analysis, this study aims to uncover how Lee Chiao approached historical writing within the constraints of official publication during Taiwan’s martial law era. The significance of Friends at Xilai Temple, released in 1977, surpasses its role as a mere tool for the Kuomintang government’s political agenda; it serves as a pivotal juncture in Lee Chiao’s writing trajectory. Within this work, Lee Chiao embarks on an exploration of the intersections between history/literature and reality/truth. Furthermore, it serves as a gateway to his profound investigation of identity, local consciousness, and subjectivity.