Tranzon Asset Strategies in Irvine has been hired by the Orange County district attorney’s office to sell items owned by Michael Vincent Petronella and his wife, Devon Lynn Kile. The auction will take place at 4 p.m. Oct. 8 in a ballroom at the Wyndham Hotel in Irvine by John Wayne Airport, 17941 Von Karman Ave.
Petronella and wife, Kile, owned three general contracting businesses, including Petronella Roofing in Costa Mesa and Cathedral City. They were arrested in 2009 and eventually convicted of workers’ comp insurance fraud, each receiving 10-year sentences. At the time it was touted as the biggest insurance fraud case in California history.
“State officials and prosecutors say the couple operated a $38 million workers’ compensation insurance-fraud scheme,” the Orange County Register reported in November 2010. The paper quoted prosecutors explaining, “Petronella and Kile declined to pay for employees’ insurance and taxes, and instead used the money for personal expenses, including buying two Ferraris, hundreds of thousands of dollars’ worth of jewelry, and Gucci, Chanel and Burberry handbags and shoes.”
What also made the arrest juicy tabloid fodder was the fact that Kile was being considered for the “Real Housewives” television franchise. So what happen to all this couple’s ill-gotten spoils?
Tiffeny Cook, vice president of Tranzon Asset Strategies says initially vehicles and equipment from Petronella Roofing were sold in 2010. Most of the real estate, a home in Laguna Hills, a condo in Aliso Viejo, a condo in the desert, and the commercial real estate in Cathedral City, were over-leveraged and went back to the lenders.
And the majority of their personal vehicles, including a Bentley, Ferrari and Range Rover, were leased. However, there was a second Ferrari, a 1987 Testarossa, and that will be included in the upcoming auction.
What else can bidders expect? Diamond Jewelry from Winston, including 10-carat diamond ring, diamond bracelets, diamond earrings, diamond necklaces and diamond rings. Watches by Rolex, Cartier, Chopard, Panerai and Breitling. 1987 Ferrari Testarossa US version with passive restraint system, engine type F113A040. 2004 Ford F150 Super Crew 139″ XLT, 2WD, 4.6 Liter V-8 100. Handbags by Louis Vuitton, Balenciaga, Chanel, Gucci, Prada, Versace, Dolce and Gabbana, Burberry and more. Many new and unused 100 Pairs of shoes (size 7.5) by Christian Louboutin, Christian Dior, Dolce and Gabbana, Prada, Manolo Blahnik, Gucci, Jimmy Choo and more, Many new in box and unworn Clothing by Gianni Versace (including vintage), Stella McCartney, Missoni, Mara Hoffman, DVF and more Designer sunglasses and accessories.
From this inventory, it is hard to agree with the adage that crime does not pay – at least for the short term. But in the longer term, tt may seem true as this couple continues to serve ten long years in a cold prison cell.