LULAC - Continuing Saga - 6th in a Series - Kingsville LULAC Manor - Special Warranty Deed - KLM-T to KLM-LP The Editor:

This is the 6th in a series regarding the LULAC Continuing Saga. This article reviews a Special Warranty Deed regarding the Kingsville LULAC Manor apartments located at 1220 N 17th Street, Kingsville, Texas 78363 dated June 19, 2008 wherein the Kingsville LULAC Manor Trust convey, i.e., sold, the property to the Kingsville LULAC Manor, LP. The person signing the deed is Oscar Moran, identified in the deed as a "Trustee" of the Trust. You can view the Special Warranty Deed here: http://www.scribd.com/doc/135304384/Special-Warranty-DeedKLM-T-to-KLM-LP You will note that the address of the Trust and the LP are identical, 8610 North New Braunfels, Suite 500, San Antonio, Texas 78217. This conveyance of another LULAC property was transacted during the Presidency of Rosa Rosales (2006 to 2010), June 19, 2008. The history of this property is similar to that of the hacienda property in Corpus Christi, a property with an appraised value of $2,557,130.00, with loans taken out to improve the property leveraged by Texas Department of Housing and Community Development tax credits and HUD Section 8 support, supporting up to 70% of the rent value of the property. The property, like

the Hacienda property, had been LULAC assets for over 35 years. The Editor is not aware of any National LULAC record authorizing the conveyance of the Kingsville property. The new owner is the Kingsville LULAC Manor, LP, managed by the Kingsville LULAC Manor, GP, LLC, managed by the Kingsville LULAC Manor Trust. Article to organize the Kingsville LULAC Manor, LP, were filed by Walter Martinez on August 3, 2007. This document states that the managing member of the LP shall be the Kingsville LULAC Manor, GP, LLC. Link to the original charter for the LP here: http://www.scribd.com/doc/135307522/KLM-LP Article to organize the Kingsville LULAC Manor, GP, LLC, were filed by Walter Martinez on August 3, 2007. This document states that the managing member of the GP shall be the Kingsville LULAC Manor Trust. Link to the original charter for the GP here: http://www.scribd.com/doc/135307529/KLM-GP Texas does not require registration of the trust, nor registration of the trust agreement. You will note that the conveyance of the Kingsville LULAC Manor was done by a trustee, that being Oscar Moran. The word on the LULAC street is that other people on the current LULAC National Board also served as trustees on that trust.

The identity of those other trustees is unknown at the present time. Continuing with this convoluted saga, the new ownership arrangement after the June 19, 2008 conveyance continues an administration of the property by a trustee/s. The identity of the/se trustee/s are unknown at this time as is the terms of the trust between the GP and the Trust. The pattern that is there for all LULAC'ers to see in the Hacienda and the Kingsville transactions is Rosa Rosales, Margaret Moran, Roger Rocha (the LULAC "money man," the treasurer), Oscar Moran, Walter Martinez and Manuel Escobar secretly taking valuable property away from LULAC and "giving" it to Walter Martinez' organizations. The National LULAC Board has a fiduciary duty that it owes to the organization of LULAC and to its members to exercise due diligence regarding LULAC property. Corporate board members' "Achilles Heel" in any organization is how each member handles its fiduciary duty. The Editor would suggest that LULAC state, district and council leaders start to discuss a process whereby a group of LULAC'ers would band together to sue the guilty Board members for breach of fiduciary duty. National LULAC Board members who have spoken out against this very shaky activity would be spared. A lawsuit for fiduciary breach is legally valued at the loss of economic value that could have been a benefit to the LULAC organization, plus punitive damages.

Corporate board members are generally protected from personal lawsuits, but when the basis is the breach of a fiduciary duty and that breach is the result of organized fraud and reckless fraud, individual members can be held liable. Rosa Rosales, Margaret Moran, Roger Rocha (the LULAC "money man," the treasurer), Oscar Moran, Walter Martinez and Manuel Escobar have made fools out of to LULAC'ers. The LULAC street says that these reckless conveyances of LULAC property, done in the "dark of night" for "pennies on the dollar," generates money for LULAC presidential campaigns and pocket money for LULAC benefactors involved in this "cochinada.". LULAC does not use professional real estate brokers to guide the organization in selling LULAC property. Commissions are paid to the next in line among the wrong doers. William Bonilla got $150,000.00 for what? What did he do that he deserved to get $150,000.00? Manuel Escobar, the "stupid attorney," got paid $15,000.00 by LULAC, the seller, for work that he did for Walter Martinez, the buyer. An attorney is not permitted to serve two masters, ever. The LULAC house needs to be put in order. Its time for LULAC members to step up to the task. If you are interested in joining up in a lawsuit give the process a few days. Attorneys are indicating an interest in representing brother and sister LULAC'ers.