: "Their leadership broken, most of the Fallen Lords
: were soon hunted down and destroyed by Alric's armies.
: With Balor's destruction, Soulblighter found himself
: defeated, but alive and free from Balor's service. He
: escaped into the wilderness, to bide his time and look
: for an opportunity to return to his former power, to
: achieve the ambition that was denied his master."
: in this context, does most mean all but one, or are there
: others still biding their time.
Both M3 and TFV say there are the other two still running around. But since neither is Bungie Canon they can be ignored if you want (though with TFV I suggest not to, since it's good stuff :P),
: also, is it possible
: that some of the shades were considered fallen lords.
: this could explain the faceless man, he could have
: been faceless because he was little more than a
: floating skelton.
The Faceless Man was exactly the same as the name of one of the Taken from Glen Cook's Black Company series, of which we know Myth is heavily based on. It's also pre-release info so doesn't exactly make points for worth (especially since some of the pre-release info was made defunct when the official Myth release put info to the contrary. Also Shades could not be Fallen Lords due to their nature, ie being "Conduits for the evil magic of the Fallen Lords" (the more Shades you have, the further you can spread your power).
: i know there is little indication that any shades were
: ever truly in charge, but maybe some of the better
: ones could have been real fallen lords. mazzarin for
: example.
: maybe mazzarin was ressurected as a shade so that the
: other fallen lords could gain his expertice without
: actually having him gain his full abilities back. as a
: shade, there would be little he could do, but he wouls
: still be a viable mind to pick and could be forced to
: do basic tasks. this kind of imprisonment could also
: explain why he just lets you hack him to pieces when
: you find him. maybe he is just trying to end his
: torture and help you along with winning the war.
Mazzarin was killed by Mr Unlife himself, and appeared on the same level as him, the math says The Watcher used the Dream of Unlife on old Mazzy'boy and had him serve him.