This guy is a common criminal.
I would argue that the bank is the criminal here. The man destroyed his own property. It's crazy, but it's not illegal. The bank doesn't own it (yet).
The man owed $160k to the bank. The bank received $170k offer for the property. The bank got greedy and said no since they felt they could probably sell a $350k house for $250k and make $90k profit on it. THE BANK SHOULD NOT BE ALLOWED TO FORECLOSE ON THE PROPERTY JUST BECAUSE THEY THINK THEY CAN MAKE A PROFIT ON IT. In fact, I think the bank should probably be put under investigation and ALL of it's foreclosure proceedings put on hold.
I've read story after story of people having foreclosure proceedings started against them despite their willingness and renewed ability to pay or that they've found a buyer who would pay off the loan. I've heard of banks foreclosing on the wrong house. There was a couple in Florida who got foreclosed on..... who paid for their house in cash. Never even HAD a mortgage. The bank sent someone to their house who cleaned out all their stuff, hauled it away, and then bolted the doors.
The banks deserve ZERO benefit of the doubt here.
This guy may be crazy... but at least he's thinking. The banks are mindless zombies.