The heiress was a passenger in Waits' black Cadillac Escalade driving near the Wynn Hotel which reportedly reeked so much of marijuana that Las Vegas police noticed and pulled the vehicle over.
Hilton was arrested for drug possession after Hilton allegedly pulled a tube of lip gloss from her purse and a small baggie of what appeared to be a small amount of cocaine fell out in front of authorities.
Police didn't say how much was found. Waits was busted for a drug-related DUI.
This is the second time this year Hilton has been arrested on drug possession allegations. She was charged with marijuana possession in South Africa earlier this summer, but authorities dropped the charges. In 2007, Hilton pleaded no contest to alcohol-related reckless driving and was sentenced to 45 days in jail.
This is quite a turnaround for Waits, who last week was heralded for holding a knife-wielding trespasser at bay with a gun at Hilton's Los Angeles home.
Just hours before her arrest, Hilton was in town for a hair photo shoot at Color salon in Caesars Palace and an interview with TV's Channel 3 news.
copyright AHN
