Do what is best in the long run for your business survival and success.

Let this play out and see if he ends up with convictions on the charges. Like you say, may be dropped and not prosecuted.

It's better to work with the employee and give him the chance to correct his behavior than it is to fire him and lose a valuable employee. Don't let the problem behavior continue though and don't let it cost you or your company. You can forgive and work with the guy as long as he is doing his part. If he is unwilling to correct his problems then you may evntually have to let him go.