Broadcom Corp. co-founder Henry T. Nicholas III is in custody on charges that he slipped ecstasy into the drinks of technology executives, maintained a warehouse to store cocaine and tried to conceal his illegal conduct with bribes and death threats.
The billionaire also is accused of committing conspiracy, securities fraud and other violations while he led the Irvine-based computer chip company.
A pair of indictments unsealed Thursday, one addressing the drug charges and the other allegations related to improper handling of backdated stock options, paint a bizarre picture. A successful entrepreneur, Nicholas is accused of using much of his fortune to fund drug parties in airplanes and luxury homes and to build a secret tunnel and room beneath his mansion in Laguna Hills.
Much of that allegedly happened at the same time as the alleged backdating scheme, which forced Broadcom to write down its profits by $2.2 billion in January 2007. That is believed to be the largest-ever accounting restatement related to improperly accounting for backdated options…
The 18-page indictment on drug charges alleges that Nicholas kept four properties in Orange County and Las Vegas, including a warehouse in Laguna Niguel, Calif., where he stashed and distributed cocaine, methamphetamine and ecstasy…In 2001, Nicholas smoked so much marijuana during a flight on a private jet between Orange County and Las Vegas that the pilot had to put on an oxygen mask, the indictment states…
Ruehle could face up to 370 years if convicted of all the charges against him.
Life in the fast lane, eh?
This sounds like a plot for a great movie.
I remember we used to drive behind the Broadcom building in Irvine, through the parking lot, just to see all the BMW’s, Mercedes’, Bentley’s, etc parked there. I think even the janitor there drove a nice car.
Why is his behavior considered bizarre? Seems normal to me, considering the depraved criminal types that populate modern corporate America.
He looks like the Frankenstein Monster in a goatee.
Is that some kind of fraternal salute?
Ever since I was a kid, I wanted a secret tunnel.
..and I thought the music business in the 80’s was filled with the..shall we say….sweet smell of excess. I’m impressed…and those rap gangsta’s think they’re so bad….
Hey… that’s Hans Gruber!
The Third Reich called. They want their haircut back.
#9 – James Hill
LOL! 😀
>>Nicholas is accused of using much of his fortune to
>>fund drug parties in airplanes and luxury homes and
>>to build a secret tunnel and room beneath his
>>mansion in Laguna Hills.
Is it illegal to build a secret tunnel and room beneath your house? Why are they accusing him of doing that? Zoning violation, or what?
Super-villian
“Is it illegal to build a secret tunnel and room beneath your house?”
Actually, yes. It can be. There are plenty of OSHA and construction regulations regarding evacuation construction. Plenty of people have died in accidents in order to make these rules.
Also, I don’t know about Laguna Niguel, but I know that next door in Irvine you don’t actually own the land your house is built on. It is leased from the Irvine Corporation. I think, but am not 100 percent sure, that Laguna Niguel used to also be part of the Irvine Ranch. So digging a basement and tunnel could be “trespassing” on Irvine Corp. property.
What a shame.
I met him… I can identify with the statements that he had quite a temper (he certainly ripped me a new one once).
He’s a super smart guy and a ruthless competitor (that part at least is not illegal last I checked). What are the odds that someone that sharp and super rich will beat the rap?
John C., are you going to follow this story or are you going to let it be covered to death by the media herd?
But he always had the best Christmas party.
Dammit! If only Phil Hartman were alive to impersonate him in a SNL sketch or two.
Also, is it just me, or does he not look like something out of an old Lyonel Feininger cartoon?
If this was a dutch CEO, doing biz in the Netherlands, I’d doubt it would even raise an eyebrow in our local press. isn’t these type of shenanigans typical?
Justice : GONG~~!!!
Lurch : you rang?
I think we’ve found the Dem VP candidate.
What’s the use of being filthy-stinkin rich if you can’t break a few laws? It’s the ‘merican way.
#1 – I have worked as a contractor at the Irvine campus and too have noted the number of very expensive cars. I think the reason is that most everyone that works there is an engineer. BTW, has anyone noticed that in most high tech places, there seems to be a dearth of American engineers (everyone seems to have a foreign name)? Are they all H1B, or ???
I like the fact that the guy was one of the Time Magazine most important men in tech. I always thought there was something hyper-creepy about the guy.
Jeanne, The IIT in India is essentially and engineering mill for chip designers. The problem is they send all the engineers here but none of the good cooks.
Oh man do I want a secret underground lair
#24, JCD,
The problem is they send all the engineers here but none of the good cooks.
Hey !!! I thought we had enough accountants in America to “cook” the books.