The Scuttling of the KISDF Fleet is an event that happened after Prometheus' capturing of the ISBA Islands of the AIF. To prevent the Prometheus from capturing the KISDF, most of their ships were scuttled in a harbour, or sent to caves placed in unknown areas, or just transferred to the UAC or AFOH. All ships, expect for the Rairyū were eventually raised and repaired for further combat.
Reasons for the scuttling
Why the ships were scutledd were not fully known, but it is certain that Khoi didn't want the ships to fall into Prometheus hands, fearing that some of the advance KISDF technology can help the Prometheus. They also feared that the lose would mean a lose in honour in the KISDF. Both reasons played the vital role in the decision to scuttle the fleet.
Scuttling the fleet
Afthermath and Raising
The scuttling was tied with the leaving of Khoi Tran, until he was "killed" with Tenroujima. The scuttling could be used as a figurive term to symbolise the leaving of Khoi Tran.
But the fleet was not to rename underwater for long. When Agent Kage came, he started the job of raising the fleet to rebuild its strength. In a period of a week, most ships were raised and under repairs, but one ship the Kageryū class cruiser Rairyū was unrepairable and could not be fully raised, so she was towed to one of the islands, where she was converted into a shore battery. During the time they were raised, the aging cruisers Admiral Yamamoto, Admiral Von Tirpitz and Admiral Togo became the backbone of the fleet.
The repaired also lead to many ships being rebuilt to improve their fighting capabilities. It was in this condition that Kageryū received her third rebuild.