Tbh the writing could need a bit of help but basically Sean (the asian guy) was attacked by a guy from a rival gang and Manny saved him by killing that gang member. Sean used the dead body to make it pass as his own so that he could be declared officialy dead. That way, he can act without having the police on his ass.
When it comes to Manny, yes he is still being manipulated and abused by that sonovabitch Isaac.
Sorry if that wasn't clear, I will use the excuse of English not being my first language lol

I'm so confused... is he still being abused? Why is the Asian guy with him but dead? What is going on?!