Bala was a merchant and former servant to the nobleman Eanen. She and Eanen fell in love, but then he died before they could be open about it. After his death, Bala was not allowed to attend the funeral. She appears in Othrenis after the Vestige completes the quest "Rending Flames" and tells you about her loss. Bala and her master, the noble Dunmer, Eanen had fallen deeply in love. Eanen had told Bala that he planned to leave his wife for her, a plan which never happened, due to his death. Now Bala wants to find his tomb, to spend the rest of her life, to raise his ghost and see him one last time. She says, "The pain of losing him once was unbearable. I can't lose him again."
If the Vestige helps her find Eanen's grave, they will find out that Eanen was actually a cruel and sadistic master. Bored of torturing servants in horrible unthinkable ways, he seduced Bala with lies, in order to break her heart. This presents them with a hard decision, as they must decide to either tell Bala about her lover's faithlessness and dishonesty, or to say nothing at all.
If the Vestige tells her, Bala will say that she does not believe them, and will then run away from the graveyard. Shortly afterward, they can meet her ghost down the road. Still, after her death, she only wants to be reunited with Eanen. Her body can be found in the water on the southeastern edge of Ebonheart.