In my opinion You would be better off getting rid of him on the spot, and absorbing the loss do better screening on the next employee.
The problem was though it wasn't just 1 person, someone was making the video. meaning there were at least 2 at fault.
There is playtime and there is worktime, but playtime does not involve company equipment ever.
If it was his lawnmower then maybe he learned an expensive but valuable lesson. if you abuse your equipment it is going to cost you every time.

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