The Yugoslav government-in-exile eventually denounced Pećanac as a traitor, and the Germans concluded that his detachments were inefficient, unreliable, and of little military value to them.

The Serbian puppet regime interned Pećanac for some time afterwards; forces loyal to his Chetnik rival Draža Mihailović killed him in mid-1944.

[12][13] Shortly before the Axis invasion of Yugoslavia in April 1941, the Yugoslav Ministry of the Army and Navy requested that Pećanac prepare for guerrilla operations and guard the southern area of Serbia, Macedonia, and Kosovo from pro-Bulgarians and pro-Albanians in the region.

Pećanac's force remained intact after the German occupation of Serbia and supplemented its strength from Serb refugees fleeing Macedonia and Kosovo.

All of the commanders were selected personally by Pećanac and consisted of former officers, peasants, Orthodox priests, teachers, and merchants.

[18] On 27 August, Pećanac issued an open "Proclamation to the Dear People", in which he portrayed himself as the defender and protector of Serbs and, referring to Mihailović's units, called on "detachments that have been formed without his approval" to come together under his command.

He demanded that individuals hiding in the forests return to their homes immediately and that acts of sabotage directed at the occupation authorities cease or suffer the punishment of death.

In the mountainous Kopaonik region, a previously loyal subordinate of Pećanac began attacking local gendarmerie stations and clashing with armed bands of Albanian Muslims.

By the end of October the Germans decided to stop arming the "unreliable" elements within Pećanac's Chetniks, and attached the remainder to their other Serbian auxiliary forces.

[20] On 7 October 1941, Pećanac sent a request to the head of the Serbian puppet government, Milan Nedić, for trained officers, supplies, arms, salary funds, and more.

This fell short of their maximum authorised strength of 8,745 men, and included two or three thousand of Mihailović's Chetniks who had been "legalised" in November 1941.

These orders required the deployment of a German liaison officer with all detachments engaged in operations, and also limited their movement outside their assigned area.

Their actions included intelligence sharing, participation in anti-Partisan operations, and supporting Nazi policies in the occupied territory.