Where I get confused is that every where I look it says they "conquered" Morrowind and not just "attacked" or "invaded".
Also I have seen maps showing the "Argonian State".
http://img5.elex-tech.org/10000/2011/1223/12/1/05389/original.png
http://t2.gstatic.com/images?q=tbn:ANd9GcQ5sIlhFUd4WMGHxC6F1yBsvNbP9uXXQZOsrIwF8yWoFjOgYPwK04H8XXoWXg
Now normally in war when a country "conquers" another they place their own people in control and then slowly re-employ people from the conquered people as puppet rulers and eventually they get the people trust and re-establish society with themselves in control. It is also the norm to re-employ or conscript the former army on the conquered back into your own forces.
This is the pattern as seen by the Romans, the Islamic Empire, the British in Americas or India and the list goes on.
Now I can see that Dunmer are returning back to Morrowind to re-set up home but that just shows things there are obviously more stable.
What I want to know is whether Black Marsh is still in control or overseer of Morrowind?