I just saw Warlord Verga visit a refugee camp and immediately receive that unit of Panaeca (sp?) Archers, the same turn he visited it. I couldn't recall a quest where you got those archers as an instant reward, so I loaded up an autosave from a few turns prior, and declared war on him before he got there because I wanted to see what the deal was. It must have thrown his logic off a little because instead of finishing walking to get the quest and (apparently free) archers, he threw himself at a Troll and died (This is like turn 7 or 8).

When I got to the refugee camp myself, I was given a quest to go defeat some bandits several squares away. So what gives? Does the AI get to cheat on quests like this and finish them instantly without visiting their subsequent locations, or is something amiss?

A save game, for your reproductive pleasure:

https://www.dropbox.com/s/d5b9x7qj03rek3c/Cheating%20Verga.EleSav