I am in a guild and before SA they made a fix so that pets would inherit the flag of their owner. If owner was blue the dragons blue, if green the dragons green, if red the dragons red... if gray and dragon is used for a crime its also gray etc... I have noticed my dragons is turning blue on me and should be staying green. I know another char has had issues with pets auto-defending and being made criminal. The auto-defend could be on a plague beast even and that would make him flag as a crook. Not sure how to reproduce it either but it has happened more than once.