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After creating his army, he started a war in Japan, killing everyone in his way & his son's village was all that was left to destroy. Lord Takagami couldn't forgive his son because his wife was a geisha & even though they love each other, a Takagami could never marry a geisha. Using his powers, he turns into a Ocho Muerte & captures The Raccoon's wife.
Unfortunately for him, The Raccoon manages to defeat the Takagami Demon Army & kill his father thanks to the power of the Great Sword of Destiny & his utter anger. However, Lord Takagami shattered the blade & before dying, he put a curse in the sword, which sets Raccoon's village and possibly all of Japan up in flames (however Raccoon believes this was the fault of the sword's power being "too strong" for him). For the rest of his life, him & his army sworn to guard the Great Sword of Destiny from anyone who wishes to use it.
After cursing the sword, his body & his army remained as statues inside a temple on the top of a mountain in Japan, guarding the hilt of the sword only, for many years. When Red & Blue arrive inside the temple to grab the hilt, Lord Takagami & his ninja companions come back to life to kill both trespassers. He also chooses to kill the girlfriend of one of the intruders, since she will be the one to receive the sword as a gift. However, Red & Blue manage to get outside the temple & escape his army, fleeing on a rowboat into the sea. Takagami looks at them going away, and he turns away.