NEW YORK (CNNMoney.com) -- What happens if you use one of your bank's foreclosed properties -- particularly one in swanky Malibu beach -- for your own parties? You get fired.

On Monday, Wells Fargo & Co. said it terminated an employee for misconduct at a bank-owned property in one of California's most well known celebrity enclaves.

Cheronda Guyton, senior vice president in charge of commercial foreclosed properties, had been seen using the property to host weekend guests and throw private parties, according to published reports.

For example, neighbors told The Los Angeles Times that she hosted a party there late last month where guests were transported to the beach front home from a yacht offshore. (Guyton's home number is unlisted, and attempts to contact her former office were unsuccessful.)

Wells Fargo, based in San Francisco, took possession of the property last May as part of an agreement with the prior owner, who was reportedly wiped out by convicted Ponzi schemer Bernard Madoff.

The 3,800-square-foot house, located on Malibu Colony Drive, is valued between $12 million and $25 million. The gated community has a guard posted around the clock and foot patrols to keep the public from trespassing on private beaches.

Wells Fargo said an internal investigation into the matter had found that "a single team member was responsible for violating our company policies" and that "employment of this individual has been terminated."

"We deeply regret the activities that have taken place as they do not reflect the conduct we expect of our team members," Wells Fargo said.

reprinted from CNN Money