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Indictment: Broadcom co-founder had narcotics warehouse, hired prostitutes, drugged associates SANTA ANA, Calif. (AP) -- Federal prosecutors may have charged Broadcom co-founder Henry T. Nicholas III in one of the largest stock-option backdating cases in U.S. history, but it was allegations that the billionaire drugged his business cohorts, hired prostitutes and maintained a drug warehouse that grabbed headlines. A pair of indictments unsealed Thursday charge the 48-year-old with conspiracy and securities fraud in an alleged scheme to backdate stock options that ultimately forced Broadcom to write down $2.2 billion in profits last year. But prosecutors also detailed a litany of...

SANTA ANA, Calif. — Federal officials unsealed one indictment today alleging co-founder Henry T. Nicholas III of chip maker Broadcom Corp. spiked the drinks of technology executives and customer representatives with ecstasy and maintained a warehouse for ecstasy, cocaine and methamphetamine.A second indictment unsealed today accuses him of conspiracy, securities fraud and other violations relating to stock options backdating while he was CEO.That indictment also names Broadcom's former chief financial officer, William J. Ruehle, on conspiracy and securities fraud charges but no drug violations. Thom Mrozek, spokesman for the U.S. Attorney's office, said Nicholas was in custody after turning himself...