According to a currently offline article published on Atariware , Kung-Fu Master was created by Pelusa Software, who were a small team of Atari fans located in Arica, Chile. The main idea of the game was inspired by two arcade games: Yie-Ar Kung Fu (Konami, 1985) and Kung-Fu Master (Irem, 1984).
Years later, German González, formerly from Pelusa, told Atariware that the game was sent to two magazines: First it was sent to Mundo Atari magazine, from Chile, where his letter was published on issue 24 (June-July 1989) with only a congratulation, no game listing was published there, and the magazine folded the next month. The other magazine Germán sent the listing was Antic, although it was finally published on STart vol 5 issue 2, october 1990. This magazine was a continuation of Antic. You can see an article on page 99 entitled Kung Fu Master, and the listing on pages 112 and 113. In addition to that, a local software publisher named Turbo Software, included the game as "Kung Fu" on at least 2 cartridge games compilation: cartridges "C5" and "2". No permissions were asked to German, and no royalties were sent to him because of the sales of these cartridges including his creation. Germán came to know about this years later, when he bought one of these cartridges second hand on a flea market for his Atari personal collection.
This game was coded on a NTSC Atari computer using Atari Basic, using as few lines as possible so it could be published on a magazine. This program does not work OK on PAL systems, although it has already been fixed by local Atari fans.