They robbed the bank that was owned by Mr. Kroop. When the puppies got in the bags of money to grab some, they zipped up the bags and left. The puppies were dognapped in the process. When Delgado learns where their hideout is, he, Papi, Chloe, and Pedro set off to the bread factory.
At the bread factory, the robbers found out that they accidentally took the puppies with them. After Papi and the group came and helped defeat the robbers, the police came and arrested them, despite their claims that they are actually break manufacturers.