Susan Hall

Drug Charges Added for Broadcom Co-Founder Accused of Backdating

Broadcom co-founder and former CEO Henry Nicholas III can now add drug charges on top of a criminal stock-options backdating conspiracy. A federal indictment alleges Nicholas used cocaine, spiked customers' drinks with ecstasy, hired prostitutes and then used payoffs or threatened violence to keep everything secret.

Broadcom's co-founder and former chief executive Henry Nicholas III faces a rash of drug charges laid out in an indictment Thursday in addition to those relating to stock-options backdating, reports Reuters.

According to the 18-page federal indictment, the alleged backdating conspiracy forced Broadcom to write down $2.2 billion in profits last year.

But Nicholas also was accused of spiking business associates' drinks with ecstasy, hosting orgies at a private drug warehouse, and building a secret party lair under his mansion that even his wife knew nothing about, according to Times Online.

Arraignment is set for June 16 with bail set for $3.3 million, a relatively modest sum, the Times notes, for Nicholas, ranked No. 165 on Forbes’ list of the world’s richest people. Nicholas did not enter a plea.

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