[1] He retired in 1992 amid a scandal that led to criminal charges of fraud and financial mismanagement, for which he was subsequently convicted in 1995 and sentenced to prison.
[6] Aramony served in the Medical Service Corps of the United States Army, treating soldiers returning from the Korean War with posttraumatic stress disorder.
Four years later, he was hired as a local executive in Columbia, South Carolina, then Miami, Florida[5] where he was known as a superb fund raiser and enthusiastic promoter for the charities he represented.
[7] He was hired as CEO of the national governing body, the United Community Funds and Council of America (UCFCA)[8] in 1970.
[4] He began an organizational makeover and the group was renamed, United Way of America (UWA), and moved from New York City to Alexandria, Virginia in 1971.
Next, he formed a partnership with the National Football League in 1973, whereby "players and coaches made public service announcements about their involvement with United Way chapters"[9] which were broadcast during NFL games at no charge.
"[T]hese associations brought widespread attention" to the United Way and in 1975, helped push donations above $1 billion for the first time.
[5] Late that year, a source at the national office revealed that Aramony flew first class, sometimes on the Concorde, used chauffeur-driven town cars and alleged that he had lavished expensive gifts on friends.
[10] After receiving multiple requests for information from the media, the United Way of America's board of governors hired outside investigators in December 1991.
According to The Washington Post, their investigation "found sloppy record-keeping, inattention to detail, and accounting problems," but no direct "evidence that Aramony had enriched himself".
[14] In fact, all of Aramony's travel expenses were supposed to be reviewed before approval by the United Way's board of directors, whose chairman was Robert E. Allen, then the CEO of AT&T.
According to the indictment, he propositioned female employees and offered the women "financial benefits" if they had sex with him and transferred or suppressed the careers of "those who rebuffed him.
[17] Aramony arranged for a UWA subsidiary to purchase an expensive New York City condominium and furnished it lavishly with $459,000 Partnership Umbrella dollars.
[19] Aramony was alleged to have siphoned thousands of charity dollars through Partnership Umbrella to spend on fancy meals, trips and gifts, to keep Villasor as his mistress.
[21] Lori Villasor testified that she had received compensation of $27,500 for two consecutive years as a UWA employee for working on a real estate deal which actually required only "an hour or so" of her time.
[23] On April 3, 1995, after a three-week trial, Aramony was convicted in the U.S. District Court for the Eastern District of Virginia on 23 counts including conspiracy to defraud, mail fraud, wire fraud, transportation of fraudulently acquired property, engaging in monetary transactions in unlawful activity, filing false tax returns and aiding in the filing of false tax returns.
[21] While still incarcerated in 1996, Aramony filed a $5 million lawsuit against UWA, claiming he was denied earnings and retirement benefits that were due him.
[8] UWA counter-sued and a United States district court issued a split decision which both parties appealed.