A deed you find in Grymforge indicates that it was owned by the Iron-something-er-other Gnome clan. Then Ketheric and his Dark Justiciars came and took over.
But regardless, the story is all over the place. I'm starting to regret EA because it's confusing as heck. You start to think you know the story and then they change it and throw huge kinks into everything.
I wish they'd at least locked the story down tight prior to EA. I can't help you with the story because I don't know all the finer details, so at the very least you should have had the story locked down tight prior to releasing to the general population.
But what do I know? Maybe they did but certain restrictions in development threw everything out the window and they had to go back to the drawing board, or maybe they thought they had it all worked out but some minor detail threw everything out the window. That can happen. A single, small detail blows an entire story if you aren't careful. The next thing you know, you're scrambling to try to figure out how the flip you're going to make everything work because you didn't think that one thing through.