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We took legal action and got a legal judgement against him. 

I won an auction from the county with a tax deed for a property that owed taxes in Texas, the owners are deceased from Illinois. The property is worth $8000 only. What can I do to  clear the title? And how much can I ...

I am interested in purchasing the property and was wondering my best course of action at this time.

As the owner of the property that is being severely mismanaged, do I have the ability to move the money directly to my bank through government action?

This includes the strategies and actions  you employ by being able to do your own deals without any assistance.

I would imagine the best actions would be to immediately fire the management company, pass the keys onto a new one, sue the old one in small claims court for the listed damages.

Should I continue mediation or pursue legal action (considering the time and costs involved)?

If the seller misrepresented tenant conditions, consult a real estate attorney about potential legal action.

The finding can be quashed if the U&O is clean and the municipality doesn't support the inspector's finding, but that might require some court action.