Vara was part of the expedition to Carn Dum. Shit hit the fan because you were IN CARM DUM!
Carn Dûm was the capital of Angmar established in the west point of the Mountains of Angmar, near Mount Gundabad in the Misty Mountains, it was inhabited by the Witch-king and his many servants. From here he based his attacks on the three petty realms of Arnor in the early Third Age, quickly managing to coerce or destroy the men of Rhudaur, and later also those of Cardolan and Arthedain.
In the various Prelude Threads he told his tale to the various PCs, who unfortunately, are no longer playing with us now. His tale took him west from Carn Dum into the planes of Angmar, to the Lone Lands, the North Downs, and eventually Bree. Along the way the other dwarves that were with him died from hazards, trolls, and other dangers of those wild and untamed lands. He lost the ponies, most of the gold, the wagon, and nearly his own life. He managed to survive with 4 bags of gold still and had only been recently returned to the Breelands when you guys set out from Rivendell. So while Aravule was sleeping in the care of Elrond he was wandering the wilds of Eriador trying not to die.
Finally back in Breelands, alive and deciding his next step Nalir caught up to him, beat him up, and stole all the gold that remained and ran off. A week later maybe it was that Aravule and Company caught up with him in the hobbit's home and...
That's when Aravule nearly pulled his sword on Vara (thanks to Halleth he didn't) and the whole Vara is a thieving SOB thing started. I'm not sure why. Anyhow, I spoke my peace. Keep RPing your characters how you like of course, but at least I think you can understand Vara's actual travels, even if you don't IC know them. Even though he did explain himself at the meeting at the Longhole Smial.
Aravule actually smiles at Vara. He does not appear overly concerned, and his ease compared to his frantic actions earlier seem quite unpleasant where it should be reason for relief. "Gone, you say? Spent it all? Or have you found a troll's cave to hide it, I wonder?" The ranger simply crosses his arms over his chest, basically ignoring the hobbits and everyone besides Vara before him.
Vara shakes his head, "Neither!" He turns as some bread and butter are brought out and he takes up the knife again but this time directs it toward the butter. "From there to here is a long trip, and many dangers lie between, the least not treachery." He shoves some buttered bread into his mouth and after he's done chewing (for the most part) he continues. "However some might be in a troll's lair at this point for I was attacked by one, my men and much of the gold was stolen from me right then and there. Then there was the storm that spooked one of the ponies who carried some, and try as we might we couldn't find it in the lone-lands. Bandits, thieves, and most of all Nalir!" He spits that last name, nearly spitting out bread on poor Conrad. "It is cursed I tell you, that gold has brought me nothing but trouble. Any of my companions I once had are dead or fled, some slinking off with what they could, others just glad to be rid of me and it." He motions at the others, "If you don't trust me ask them, they saw they last of it vanish at the hands of that bastard Nalir just a few days ago."