Busted has both normal and slang definitions.
Normal a) bankrupt or out of money. 'I can't afford to go out, I'm busted.' b) Tamed or broken (horse)c) be demoted in military rank. He was busted from sergeant to private.'
Slang a) placed under arrest. 'He was busted for shoplifting' b) smashed or broken. 'He busted his ribs.'c) out of order, inoperable. 'The coke machine is busted.' d) caught doing something you shouldn't. 'I saw you take that money, you are so busted!'. e) be subject to a police raid. 'That bar has been busted three times in the last year.'