Forcing sexual relationships on people who work for you (or forcing a reporter to watch you have sex and masturbate) is hardly "overly-sexual".
You said yourself that AA workers could not get the same money anywhere else... surely you don't think it's acceptable for Charney to ask his employees for sex in a situation where (according to you) he has so much power?
In general, I think good/legal vs. bad/illegal behavior is not just a simple sum of its parts where, say, 3 good deeds outweigh 1 rotten deed by 2. After all, when your neighbor turns out to be a child predator, are you going to say, oh well, that's ok because he's been a good church-going fella for the past 30 years?