Sechel, you left out a very important part of the story – the fact that Ashkenazi ignored the directions he was given. He was instructed to disperse the funds to yeshiva guys but specifically to exclude Chabad students. He ignored it, and gave money to them.
In the end, the money he was owed was as a salary, which he used to repay the money that he wrongfully gave to the Chabad students.
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