Originally Posted by Marko
...now after I defeated Laiken on Sentinel Island I was told that I can not return to Broken Valey, because everybody there is dead after an attack of Damian...
One of the tips that pops up quite often as you load saves is "Don't believe everything you read!" Why don't you go back and take a peek at the Broken Valley... like now?

I'd like to close by quoting Bellegar's famous last rhyme:

"Cursed be the mother that bred thee!
The wench must have been a hell-spawned banshee!"