!

" 22A

****

Houston Chronicle

Thursday, Sept.7. 1989

State

Foundation is no longer

LULAC unit, official says

to quit the LULAC
SAN ANTONIO (AP) - After 10 former national presidents refused board, the current president of the

Foundation

smirched by these outrageous, reprehensible and unscrupulous actions by capricious and malicious individuals who have taken over the highest

De Lara dismissed the suggestion. "There is nothing to mediate," de Lara said. "They don't have a case."

Hispanic righis group took steps

toward dissolving the foundation.

offices of LULAC."
De Lara called for the resignations

United Latin

The president of the League of

after an investigation that he said discovered foundation funds had

been misspent.

The former LULAC presidents said in their statement they will give. de Lara 10 days to:

t I

Apologize

for the

charges he

made.

American Citi-

cia de

zens, Jose Gar-

Lara,

Made up of 10 former LULAC national presidents, the foundation

board raises money from corporations to fund health and educational programs in Hispanic communities in the United States. De Lara already has started estab-

LULAC National Assembly to addre'ss the issue.

Set an emergency meeting of the

Tuesday told the

Internal Reve-

nue Service the

foundation was
no longer a LULAC agency and

Ruben Sandoval as LULAC's special counsel. But de Lara responded by giving

Dismiss San Antonio attorney

to non-profit status.

not entitled

De Lara

dation board members said they will

LULAC Foun-

not resign and urged members of

LULAC to resclnd de Lara's actions. "We

will not resign, anfwe shall

not retreat," the board's statement said. "Our many ye6rs of devoted

lishing a new foundation to accept corporate contributions for educdtion, job and civil rights programs for the 140,000-member group. Eduardo Morga, chairman of the foundation board, said he would like to see a U.S. Department of Justice mediator oversee the controversy. "We would hope the people who have been libeled and charged will
answer the charges," Morga said.

Friday to resign so the foundation

can be shut down and reorganized. "We're just planning the course of action and waiting for their resigna-

the foundation board members until

"It doesn't change anything." De Lara launched an investigation,

tions," de Lara said.
LAC's name was found
Antonio bank.

service

to

LULAC

is

be given an impartial setting to

which allegedly found financial irregularities of $88,000, after a previously unknown bank account in LU-

in a

San

being

be-