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Highlights:
A flashback of Shura's past reveals she was raised by Hachiro. He taught her to use the demon sword and trained all day long. At night, she would make mischief.
One day her World changed. It was when Father Fujimoto arrived. Shura tells Hachiro that she is going to make a baby with the exorcist. Hachiro says ok and instructs her to come back when she has.
Back to the present; when Shura wakes up, she is standing in front of Hachiro. He is controlling her with his eyes and calling her Tatsuko (the one he loved).
Rin and Yukio arrive. Hachiro sends Rin away with one of his snakes and then immobilizes Yukio. "You shall serve as the stud," he tells Yukio. Yukio, however, has a plan. He tells Hachiro to void the demon sword contract with Shura and transfer it as is to me, along with your ability to regenerate blood. In return, he will do whatever is needed to make sure that Shura is impregnated.
Hachiro is still leary, but Yukio is doing well with negotiations.
To keep Rin from interferring, Yukio shoots him several times with nutrient bullets saying his brother will be immobilized for at least 20 minutes. When it appears that Yukio has the contract, he signals Rin who stabs Hachiro thru the chest.
A damaged Hachiro becomes enraged and grabs Shura with one of his snakes. He takes her to the lake where they both submerge into the murky waters.
NOTE: These events take place in volume 17 of the manga.