Screen tears and Handbrake re-encode isn't fixing it. I even tried an upscaling software such as Topaz to see if it had an option for it. This is a no go. The person who uploaded this weird obscure movie called it a Webrip. If they captured this film online and it had interlace/deinterlace issues would that mean it's not possible to fix it? Also, the sound to me seems out of sync a little bit too but I don't know if the movie has been dubbed. Actually a lot of the actors in this movie look American. Might be just a bad Webrip.

If I had to guess, this is just a weave-deinterlaced video, i.e. a progressive picture with combing artifacts baked in. This is what every interlaced source looks like when deinterlaced that way.

What I would try is first re-encoding it in an interlaced format, then re-encoding that with a better de-interlacing algorithm.

EDIT: I can't tell without seeing it in motion, but something that's possible to get wrong when capturing interlaced video is reversing the top/bottom fields. If that's happened here, it should be possible to re-reverse after re-interlacing as I described above.

I think moving the frame one pixel up or down should reverse the fields too (if they are in the wrong order...).

https://drive.google.com/file/d/1i4BbNng4zOLl4rfycU__0_0UjWsDimzP

There's an mp4 file of it. You can see if you can do anything to fix it with this sample file. I don't think it's possible to fix. I think someone may have screen captured this online and it probably had issues. LOL, sorry didn't know it was a crotch clip. I made the sample file with handbrake and I just randomly chose a scene.

What is the Movie?..

The Bronx Executioner 1989 I believe.

If the guy in the bottom two images is "Dakar", it is...

I just bought the last copy of the movie on DVD from Amazon. 12 Dollars...

Why though? I could have... you know... lol. I wonder if your copy at least doesn't suffer from screen tearing. This is a webrip so maybe someone captured it poorly which caused the screen tearing. I also don't know if this movie was worth chasing down because it could be a so bad movie it's just bad.