Broadcom cofounder Henry Samueli reaches plea agreement, admits he lied to SEC

Broadcom's former management team is still in a heap of trouble over falsified financial statements, but it looks like co-founder Henry Samueli has managed to reach a plea deal with the Feds that'll keep him out of jail -- he's admitted that he misstated Broadcom's finances and knowingly backdated stock options issued to executives, and he'll be fined some $12M plus an additional $250K, as well as serve five years' probation. The court hasn't yet approved the deal, but compared to the "warehouse of meth" antics of Henry T. Nicholas III, Broadcom's other co-founder, a little accounting chicanery seems positively straightlaced, you know?

[Lowest Ranked @ Jun 23rd 2008 8:07PM]

Been clean for 3 years next Tuesday! Looks like Henry has bigger or should I say more expensive problems.

[Sudo @ Jun 23rd 2008 8:07PM]

http://youtube.com/watch?v=yVBB2upbVys

[roflercopterer @ Jun 23rd 2008 11:34PM]

engadget really is proud of that picture, they like it use it.

[Trent @ Jun 23rd 2008 8:26PM]

Looks like the Fed's got their witness and the only guy that won't get the book thrown at him. Now they have the guy they let off with a slap on the hand to testify against everyone else. It's always curious to see who can make the first deal and get off easy. I expect much like Enron, Worldcom and the others the remaining executives will end up with serious prison terms using the testimony from the one that plea bargained.

Just remember, if the Fed's come after a bunch of you and your friends for doing very illegal things you better be the first to cut the deal.

[Famous by Marital-Association @ Jun 23rd 2008 8:58PM]

Yeah... its a basic matrix most everyone should know of if they haven't seen it before.
Example #1-> 4 men get caught for a crime. (Mr. 1,2,3 & 4)

Mr.1 goes states/testifies everything. He gets a 1 penalty point (sometimes this is more like 0, aka probation/completely acquitted)

Mr.2 and Mr.3 on confess their part of the crime. They each get 3 penalty points apiece.

Mr.4 stoutly denies everything and refuses to co-operate. He alone gets 5 penalty points.

The sum of their penalty points is = 12.

Example #2-> 4 women get caught for a crime. (Mrs. 1,2,3 & 4)

If they all refuse to admit guilt and co-operate, and the state can't pin one of the Mrs.'s with planning or co-ordinating the crime- they will all get 2 penalty points.

The sum of their penalty points = 8.

TEXT BOOK CONCLUSION -> As long as no one "rats" out (Mr.1), the whole group suffers less overall.

So it looks like:
Mr.1 = Henry Samueli
Mr.2&3 = others involved.
Mr.4 = Henry T. Nicholas III

[JAmerican @ Jun 23rd 2008 8:32PM]

I still love that picture. So funny!

[Jon @ Jun 24th 2008 8:46AM]

Yes, best picture ever!

[phanbouy @ Jun 23rd 2008 9:07PM]

"seems positively straightlaced"

i don't like my broadcom laced with _anything_, thanks ver much.

[Darak @ Jun 23rd 2008 9:10PM]

I believe the word is "chicanery"

[phanbouy @ Jun 23rd 2008 9:12PM]

ha good catch. i can't be sure, but chincanery sounds like a racial slur. and if not it should be.

[Rob @ Jun 23rd 2008 9:15PM]

An executive lying to the SEC??? You don't say.

[tekdroid @ Jun 23rd 2008 10:29PM]

next, Realtek execs: the Scandal!

[Gadget Chick @ Jun 23rd 2008 10:34PM]

the guy is seriously a sick fuck. jail time would have straightened his crazy ass out.

[Ishimaru @ Jun 23rd 2008 10:45PM]

Hey, what'll you know, a rich exec skips jail time! What are the odds of THAT? Only in America...

[John @ Jun 24th 2008 1:11AM]

Actually, I don't think that's only in America. And in this sort of case, it's because if he didn't skip on jail time, they wouldn't get to nail the rest of the rich bastards.

[wasabi @ Jun 24th 2008 12:50AM]

uci's school of computer engineer is named after him. and the ics school is named after donald bren... looks like uci likes donation that type of crowd huh

[Bryan @ Jun 25th 2008 12:46PM]

any school likes the donation type.

[lance @ Jun 24th 2008 5:03AM]

pay 12 mil? thats a great business deal for how much they duped everyone for. i wonder how much he has stashed all over the world.

[Graham @ Jun 24th 2008 9:15AM]

"misstated" he friggin lied, there was no misstating anything. What scum

[Graham @ Jun 24th 2008 9:15AM]

"misstated" he friggin lied, there was no misstating anything. What scum

[Graham @ Jun 24th 2008 9:16AM]

Arg, my bad. Comment thing is all screwed up.

[TopaZ @ Jun 24th 2008 3:25PM]

Justice is getting really expensive!

[Bryan @ Jun 25th 2008 12:43PM]

does that mean my engineering school is changing names?

[Jeff @ Aug 3rd 2008 2:16AM]

Bryan, No your Engineering School is not changing names, but your Diploma has been back dated to increase its value!

[Jeff @ Aug 3rd 2008 2:18AM]

Bryan, No your Engineering School is not changing names, but your Diploma has been back dated to increase its value!