Then they expand slightly on Grodek's personal vendetta against the UE, which is the cliche but believable "the killed my wife and child" backstory.
Emily blows up at Flit for doing exactly what she's been expecting for at least two episodes.
Woolf gets permission to take his military issued mobile suit out to run personal errands (I've mentioned before that this military is very laid back). From the sound of it, he plans to have some major custom modification done to his mobile suit, which realistically speaking, the mechanics on the Diva would probably be incapable of repairing should the need arise.
Flit chases Emily into the colony and then... Zakus. I actually had forgotten about those. A mobile suit battle breaks out between someone and someone, the buildings get sealed off with defensive walls, and the pair of them end up taking refuge underground.
The underground city I can buy. But Fardain is supposed to simultaneously be an economically prosperous colony, and a war-torn battlefield? They've already established that this colony is Federation controlled: they're putting up with this bullshit? I know the commander is corrupt, but even he couldn't keep it quiet that there are daily mobile suit battles in the streets. Oh, wait, apparently this is common knowledge. What the hell?
Grodek is apparently buying four warships. Where the hell is he going to get the crews?
Okay, this guy lives in a shanty town, but he has his own mobile suit. I know they did something like this in 0083, but they did that in a way that made sense.
Then the testosterone poisoning kicks in and Iwark decides that two gangs of mobile suits destroying each other is unforgivable, so he'll try and destroy both of them by himself.
Then Vargas gets the Gundam there faster than a Jimmy John's delivery man.
The crew of the Diva really sucks. There is no other way to explain how: the most powerful weapon in the Federation left the ship and none of them noticed, and despite specific assurances that they were keeping their eyes open for the UE, they still show up in the colony unnoticed.
Oddly enough, the part of the episode that makes the most sense is the Zalam faction arresting Flit. The colony factions were fighting when an unidentified mobile suit attacks them. They shoot it down and a second unidentified mobile suit attacks them. Then a third unidentified mobile suit shows up and they run like frightened deer. They come back with reinforcements to find their city shot to shit. Yeah, I'd arrest him too. Now Flit letting himself get arrested is a different issue.