After leaving Kingdom of Liones, the three knights head to Byron. On their travels, they see mindless bodies wandering around. While that happens, a Red Demon summoned by Melascula takes the souls of many civilians. The Knights come to the rescue.
Gilthunder slashes the demon from behind and Howzer hits it with Rising Tornado, severely wounding the demon. The Demon attempt to shoot fire at them, but Griamore stops it using Perfect Shell around its mouth, causing the demon to destroy half of his own face. Gilthunder finally kills it using Raitei no Tettsui.
After the demon dies, all the souls he collected returned to the villagers bodies. Unfortunately, a Gray Demon appears. Then, at that moment Hendrickson shows up in front of the knights.