Once a planet dominated by grasslands, on which was founded the nomadic empire of the Saaur, it was invaded by the Demon Horde and stripped lifeless after they were trapped there following the migration of the Saaur to Midkemia.
Shila was a rich world, with cultures and societies thriving, most notably the vast empire of the Saaur - containing its 7,000,000 warriors in the Hordes. Other peoples mentioned to have lived there are only the priesthood of the Holy City, although it is not mentioned whether or not they too are Saaur.
When the Saaur empire grew to cover most of the planet, its conquerors attempted to subjugate and tax the people of the Holy City. However, in the course of the attack of the city, a mad priest opened a rift to the demon realm, attempting to drive off the invaders and return the demons afterwards. The demon ate the priest and allowed its brethren to move through the rift in ever-growing numbers. The seige of a city turned into the struggle for a planet.
The demon horde, after eating the inhabitants of the city, turned their attention to the Saaur Hordes, and a war ensued, ending in a desperate pact made by the Saaur leader with the Pantathian priests. The Saaur were transported off Shila, leaving only the demon horde, which slowly sucked the life-energies from everything on the planet. After Pug closed the rift from Shila to Midkemia from the demons, the demon king Maarg ate all other demons, before succumbing to hunger in the site of the rifts.
One hundred years later, the taredhel opened another rift to an unnamed and deserted planet from their 'hub world'. Upon studying the world, it was found that the planet had been deserted for one hundred years, although they were unsure as to what could explain such wholesale destruction. Eventually, it was revealed that the demons had ravaged said planet, and moved to invade the taredhel empire. Originally unconnected to the site of the beginning of the demons' invasion of the taredhel empire, Pug theorised and later proved that it was, in actuality, Shila.