Hidden leaf village is destroyed by Pain, one of Madara' subordinates. Captain Mitarashi conveyed a message from Hidden Leaf that Sai is to come home. Yamato rushed back to HL as Akatsuki attacked the village. Samui from Hidden Cloud, messenger for the Raikage, leader of Hidden Cloud, is to deliver a message to Hidden Leaf's Hokage. Lady Tsunade is still in coma and since Raikage needed a reply Samui had to hand over this letter to standing interim Hokage Danzo. Danzo has read the letter calling for emergency Five Kage Summit Conference. Then he declared Sasuke as rogue ninja has ordered to have him hunted down.
Danzo has been appointed by the Feudal Lords but has yet to win a vote of confidence from Jonin. Danzo recognizes that Naruto is a village hero and to win a vote of confidence he needs to treat Naruto well. He also knows that Naruto possesses Jinchuriki. Danzo orders Sai to survey and follow Naruto and with curse mark tattooed on Sai's tongue Sai will keep quiet about Danzo's intentions. Otherwise his body would become numb so he couldn't talk or move. Sai explains that Danzo and the foundation have done a lot of dirty work to protect the Hidden Leaf village. That is why it needs to be kept quiet.
Sasuke is tracked down by Madara. Taka has left Akatsuki so Sasuke and group of others think they're done with him. Madara accused Sasuke of reneging on his promised Sasuke made while back about hunting down Tailed Beast. Even though they have caught Eight-tails Madara needs them to catch Nine-tails and only then he would allow them to leave Akatsuki. Madara explains to Sasuke that Pain as his subordinate destroyed Hidden Leaf Village.
Three ninjas from Hidden Cloud are also asking about Sasuke. Apparently, Sasuke along with Akatsuki attacked Hidden Cloud village. Now, they have the permission to get rid of Uchiha. They asked about his powers and skills trying to learn as much as possible so they can effectively find Sasuke and avenge the death of Lord Killer Bee and Lady Yugito. Naruto understands the needs to avenge one's master. He explains that Killer Bee is also a Jinchuriki and as such would most likely still alive.
Naruto will realize in next episode of Naruto Shippuden 198 that he simply cannot sell out Sasuke as he is his friend. Naruto does not want to cause another eye for an eye battle. Watch Naruto Shippuden 198 right here at TailedFox.