Outraged neighbors ratted on a Wells Fargo & Co. employee who threw lavish parties at a foreclosed home in pricey Malibu, Calif. The bank said Monday that the employee had been fired.

Wells Fargo took possession last May of a beachfront mansion valued between $12 million and $25 million. The previous owner was reportedly wiped out by the Ponzi scheme run by Bernard Madoff.

Instead of putting the property up for sale or letting it stand empty while the foreclosure was completed, Cheronda Guyton, senior vice president in charge of commercial foreclosed properties for the bank, apparently used the place to entertain friends, including transporting guests from a yacht moored offshore.

After neighbors cried foul, Wells Fargo investigated and identified Guyton as the culprit. Monday, the company said in a statement, "We deeply regret the activities that have taken place as they do not reflect the conduct we expect of our team members.”

Source: CNNMoney.com, Ben Rooney (09/14/2009)