Allen Dorfman was born in Chicago, Illinois,[3] in 1923 to a working-class Jewish family, the son or stepson of Paul J.

"[8] In 1949, Allen was making $4,000 a year as a physical education teacher at the University of Illinois when Red struck a deal with Jimmy Hoffa, then head of the Teamsters Union in Michigan.

According to FBI files, Red agreed to introduce Hoffa to mob figures in exchange for Allen's entry into the Teamsters' insurance business.

In addition, Red Dorfman had deposited $150,000 of health and welfare money with a bank owned by a friend, George Sax, who did not pay interest.

[citation needed] Allen Dorfman rose to prominence following World War II and by the late 1950s was a close cohort of IBT President Jimmy Hoffa.

In one instance, Allen took $51,462 in premiums and simply deposited it in a special account that he maintained with his mother, with no complaints from the Teamsters.

Evidence presented to the Committee showed, on the other hand, that while the Dorfmans had proposed a 17.5% fee to the Fund, they had actually been paid only 7.6%, in line with prevailing rates in the industry, over the previous eight years.

[9] During the late 1950s, Dorfman became involved in approving loans for the Teamsters' Central States, Southeast and Southwest Areas Pension Fund.

[citation needed] Allen Dorfman was peripherally involved in the United States Department of Justice's prosecution of Hoffa for his involvement with a trucking company known as Test Fleet that he and Brennan had established in the 1950s in their wives' names and with the assistance of Commercial Carriers, Inc., a major trucking carrier whose employees the Teamsters represented.

The United States Department of Justice brought criminal charges against Hoffa for accepting bribes from Commercial Carriers.

Indicted along with Dorfman were Joseph Lombardo (aka "Joey the Clown"), Anthony Spilotro ("The Ant"), Irwin Weiner, and several others.

But in 1971, Irwin Weiner, a prominent bail-bondsman, organized crime associate and friend of Jack Ruby, had purchased stock in the company and received another $1.4 million loan from the fund with a mere $7,000 deposit.

The government's case collapsed after their main witness, Daniel Seifert, was murdered in September 1974 and the defendants were either acquitted or dropped from the indictment.

[17][page needed] Dorfman was subsequently convicted in December 1982, along with Teamsters president Roy Lee Williams and Chicago Outfit enforcer Joseph Lombardo, of conspiring to bribe Howard Cannon, the Democratic Senator from Nevada, to oppose deregulation of the over-the-road trucking industry.