Cobalt Squadron was a squadron consisting of R60 T-wing interceptors that was utilized by Airam Clan leader Ilay, who was also a collaborator with the Imperial forces.
During the time of the Galactic Civil War, Ilay initiated a collaborative relationship with Fleet Admiral Wooyou Senn of Task Force Vengeance. Following the events of the Ambush in the Cron Drift, she was aboard the Dreadnaught named Kala'din to conduct further negotiations. To protect her ship, Cobalt Squadron, another T-wing squadron called Crimson Squadron, and Y-wings from Tiger Squadron were tasked with escort duties. However, Tamaron, a rival Clan Leader, discovered her meeting location and dispatched X-wings from Rogue Squadron along with B-wings from Green Squadron with the objective of capturing her.
Despite the presence of her escorts, as well as TIE Fighters, TIE Interceptors, and Assault Gunboats launched from the Star Destroyer named Rage, the Rebel forces successfully repelled the enemy fighters. They also managed to disable the Dreadnaught and provide cover for the corvette called Storm so that it could board the vessel and take Ilay into custody.