Samueli's partner and the 'sex cave'
A hat tip to Tom Benjamin for pointing some of this out, but one of the interesting (and under-told) stories of the whole saga with Ducks owner Henry Samueli is what's going on with his former Broadcom partner, billionaire Henry Nicholas.
Here's what The Associated Press had this week when it was announced Samueli's plea deal was being nixed:
Under the agreement, Samueli would have avoided prison time and would not have been required to help prosecutors build their cases against Broadcom's former chief financial officer, William J. Ruehle, or company co-founder Henry T. Nicholas III, who are accused of conspiracy and securities fraud. Nicholas also faces drug-related charges, including that he slipped ecstasy into the drinks of business associates.Come again?
Wading a bit deeper into what Nicholas was allegedly mixed up in, there was a story in The Times back in June that outlined what the actual allegations against him were. And it's pretty unreal stuff:
Most attention yesterday was focused on the accompanying 18-page indictment on drugs charges against Mr Nicholas. It detailed a lifestyle so extraordinarily profligate that not even the description of “Gatsbyesque” could suffice. It is alleged that Mr Nicholas hired prostitutes and escorts for himself, his employees and his customers, and conspired to obtain illegal prescriptions for drugs such as Valium. He also allegedly kept a warehouse full of drugs and built a $30 million “sex cave” under his mansion with a bar and a million-dollar sound system where he and his rock star friends indulged themselves.And this:
In addition, it is claimed that Mr Nicholas’s consumption of marijuana was so prodigious that during a 2001 flight on a private jet between Orange County and Las Vegas the pilot had to put on an oxygen mask; and that on two separate occasions he drugged unsuspecting colleagues with Ecstasy.Since May, Nicholas has been staying at Cliffside Malibu, a facility described as "The most luxurious drug rehab facility on the planet!"
Talk about inappropriate exclamation points.
This is all one step removed from Samueli, but it is worth noting the company he kept. The Ducks owner and Nicholas were long-time friends who "met in the 1980s while working as engineers for TRW Inc., a defense communications company" and founded Broadcom together in Nicholas's condo in 1991.
The speculation now is that Samueli may face jail time for his role in the stock options backdating case, and it seems unlikely he'll ever be reinstated as an NHL owner.
Even so, it'll be worth watching what happens with Nicholas as his case makes its way to trial.