Well, both of those are meant to be flags of Illyria, with the second one being based on one of the flags of Naples. In the vague TL idea that inspired these flags, in which an assassination attempt against Napoleon in 1809 is successful, I imagine that Illyria would be given to someone in exchange for them not making trouble in France, though I'm not sure who. One of Napoleon's brothers? One of the marshals? Naples would probably go on being ruled by Murat.