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The first seen member of the gang was Blu, perhaps its lowest ranking member. He was chasing Bang Freiheit through the desert with a Guysack he'd found, while Nero and Bianco watched from afar, unimpressed with his antics. When Bang hid inside an old ruin Blu tried to attack it, only to get the old, long-dead Gojulas that was leaning against the building dropped on his head. Bianco and Nero allegedly dug him out, only for him to circle right back around and try to attack Bang again. This time, he found Bang inside a hidden room of the ruin, next to a small, strange wild Zoid. He brutally attacked them both until the small Zoid, actually an Organoid picked up Bang then attacked the Guysack, slamming it through the ruin wall. With him out of the way it fused to the old, damaged Shield Liger in the desert and revived it back to a combat-ready state. Bianco and Nero were both defeated by it.
When the three of them went back to the gang, citing the strange encounter Rosso recognized that the small wild Zoid was actually an Organoid. He was convinced that if they could capture Sieg, the Organoid, that they'd be able to buy their way back into the Empire. So, part of the group (Giallo, Verde, and Viola) went to Bang's home, the Wind Colony. They kidnapped his sister, promising to release her if the village handed over the Organoid, to which they complied. Even so, Verde went back on their word. He recaptured Maria, kicking off a battle between the gang and Bang's Shield Liger. With Sieg's help, the gang was defeated, even three to one.
A village known for its quality aquifers hired Bang and Irvine to help defend them against bandits. These turned out to be the Desert Arcobaleno Gang. They fought once more, this time with Rosso, Bianco, Blu, Verde, and Viola all joining the fight. Irvine defeated Viola's Redler and Verde's Molga while Bang caused the aquifers to erupt, disabling the two Command Wolves and the Red Horn.
Marcus, a man in the Empire who was intent on climbing the ranks offered to allow Rosso and his group back into the Empire if only they would do him a favor. He provided them with a Pteras and instructed them to attack the Imperial Zoids at Red River, who were engaged in a stand off with the Republican Army. If they did, it'd look like the Republican Army had launched the first attack. However, after the attack Viola flew the Pteras right towards the Empire side to seek cover, making it obvious that the attack had been faked by the Empire, who didn't bother to shoot her down. Thankfully for everyone involved, Bang succeeded in a separate mission to destroy Fire Bridge, which cut the Empire off from receiving reinforcements. This prompted their leader, Karl Schwarz to call a retreat, avoiding an active engagement.
After the battle was called off, Marcus claimed to have no clue who the Desert Arcobaleno Gang was, laying the blame for the rogue attack squarely at their feet. Rosso knew their last chance was to capture the Organoid, Sieg. The group gave it their all this time. They kidnapped Bang and Moonbay, and easily captured Fine when she waltzed right over to them and ordered the release of her friends. Irvine helped to free them during this distraction, and the group engaged in another fight, even though many of them (and their Zoids) weren't yet at full strength following the previous battles.
The gang stood a solid chance of winning, up until the Imperial Army showed up with an army of Molgas. They were hunting those responsible for the Red River event. Rosso recognized that they needed someone to take the fall, and he didn't see any point in that being the entire gang. So, he made the call to disband the Desert Arcobaleno Gang and allowed himself to be captured.
While the Desert Arcobaleno Gang had officially disbanded, remnants of it continued to travel together. Giallo and Viola continued to hunt for Bang, using the gang's two aerial Zoids. They blamed him for the fall of the gang, but later dropped this idea.
Bianco, Giallo, and Viola also busted Rosso out of prison later on. They'd come up with a scheme to kidnap the crowned prince for a ransom, but while successful, Bianco and Giallo were injured in the encounter with the castle guards and had to stay behind to avoid slowing down Rosso and Viola.
The two of them would continue with their plan, but eventually had a change of heart after they realized that the people who'd pay the ransom also wanted Rudolph dead. They'd never intended to actually hurt the child, and changed gears to protect him, going on to become the masked aerial fighters the "Baron of Wings" and the "Sword of Storms".