Henry T. Nicholas III was charged for backdating millions of stock options that he used to reward employees in an improper way. The stock options were rewarded to Irvine computer chip maker which was founded by Nicholas.

The other main charge was, he was found to be supplying drugs and Ecstacy to his customers with prostitutes. The drugs was found slipping into drinks without their knowledge of his technology executives and representatives who worked for Broadcom’s customers. Other drugs found also includes cocaine and methamphetamines.

When he was on a private plane to Vegas, he was smoking marijuana in the plane which his pilot need to put on oxygen mask to fly the plane. Henry T. Nicholas III surrendered to the FBI in the morning today, told by Pete Norell who is a supervising FBI special agent in Santa Ana.

$2.2 billion dollars of unreported expenses, one of the biggest charge by the more than 200 firms whose options practices have come under scrutiny. Henry T. Nicholas III is under bail of $3.4 million. He is not to violate any terms and conditions of the bail and also the random drug testing.

Henry T. Nicholas III quit the company in 2003, which he was saying he wanted to spend time trying to repair his marriage. Samueli stepped down from his roles as Broadcom officer and director when the SEC lawsuit was filed, although he remained at the company in an advisory capacity.