Proone,
The facts are quite simple; the individual concerned freely admitted taking Class A drugs on repeated occasions, in contravention of both criminal law and aviation regulations.
Whilst the station, fleet and squadron will have suffered adverse publicity due to the actions of one individual, they have many years of great work to leverage against it - and as someone has pointed out, the media will have moved on in a day or so.
The real damage here is to the relationship between unit and their customer, who rely on crews to perform tasks where mistakes could quite easily be fatal.
I have no sympathy for the individual - and I am fairly shocked by the suggestion that this could have been solved quietly by a chat in the CO's office... not only is that unlikely to have happened had it been SAC Bloggs from MT, but to repair the relationship with the user unit, it is crucial that the matter is dealt with openly, and to the furthest and fullest extent of the law.
Other than the individuals lifestyle, the remainder of this sad and unedifying episode suggests that it has been handled correctly at all levels.