When the decay began as a result of Edenova's existance, a certain dragon became not only supremely intelligent, but incredibly twisted. He offered groups of disallusioned humanoids places of power beneath him. All they had to do was worship him. This dragon, called Amea by his followers, finally attained true godhood by slaying the titan Borras, and became Ameadaeus.

His first act was to enact physical changes in his followers so that their appearance reflected their actions. This is how the Daema (monstrous race) came into being. The worst of them came to Nuegalon to dwell with their master, being made rulers over the hellscapes. The lesser Daema remained on Heroshi and spread Ameadaeus will, which was to conquer the world, replacing mankind. However, at the rate Daema were struck down in battle, they quickly realized their weakness. Having no females of their kind, they were without a way to make their kind endure. They found that while they could reproduce with females of other species, the offspring were inevitably weaker than the Daema could tolerate. These least Daema, having their blood mixed with mankind over many generations became the monsters that are widespread in present day: orcs, gnolls, evil giants, and the like.

So what happened to the lesser Daema? Eventually they either returned to Nuegalon or were confronted by righteous men who believed they didn't "belong in this world" and wanted them to die. Their objections to the effect that men were miserable little piles of secrets notwithstanding, they were gradually wiped out. However, certain Daema still lurk underground... foremost among them being Deathveil, Ogre Magi, and Occuli.

Greater Daema: Nobles of Hell

Lesser Daema: Ogre Magi, Rakshasa, Deathveil, Occuli, Barghests [certain monstrous humanoids, giants, and outsiders]

Least Daema: Ogres, Gnolls, Orcs, Gargoyles, Goblins, Sahuagin, Troglodytes, Trolls, Kobolds