Here's a theory I've been working on... [work with me here, came up with it a couple weeks ago]
What if Victor's father used to control Latveria, and had sent his son to the US under a differant name, to aviod the attention possibly, to attend schools that better suited Victor. Somehow his father had gained the form of Doom as seen in the pic in UMTU # 14.
[Here's where it gets weird]. Let's say that victor's father was a sorceror of sorts ala his 616 version and had dissappeared along with the orig. Dr. Strange in a Astral or magic fight.
Upon gaining his powers, Victor figured then he could have the power to rule Latveria with an iron fist, but his misshapenenness has made him unable to gain access to the country. So, instead he grabs a seperate piece of land somehow owned by his family and thus the events of "Doom"