Montco man guilty of torching his own business

A Montgomery County man was convicted by a federal jury today of plotting to torch his auto repair shop in the Far Northeast in 2010.

Jurors, who deliberated for about eight hours, found Michael Giamo, 29, of Huntingdon Valley, guilty of using fire to commit fraud, maliciously destroying a building, obstruction of justice and related offenses.

Authorities said Giamo conspired with Isael "Izzy" Kniestedt, offering to pay him $10,000 (but actually only paid him $1,300 in July 2010), to destroy the auto repair shop, One Source Motors, on Bustleton Avenue near Philmont in order to collect insurance proceeds.

Before leaving for Brazil in May 2010, Giamo left containers of gasoline at One Source and instructed Kniestedt how to break into One Source, enter the office and where to find the gasoline.

Kniestedt was the government's star witness against Giamo.

On May 24, 2010, after One Source had been set ablaze, prosecutors said Kniestedt telephoned Giamo to tell him it had been done.

Shortly thereafter, Giamo submitted claims to his insurer on behalf of One Source and collected more than $127,000.

He subsequently lied to investigators and attempted to destroy incriminating records, including telling Kniestedt to destroy his computer, because it could "put us both away for life."

U.S. District Judge Michael M. Baylson set sentencing for Giamo on June 20.

He faces a mandatory minimum sentence of 15 years up to life in prison, a fine of up to $2 million and forfeiture of at least $127,682, prosecutors said.

Kniestedt pleaded guilty in the case in August and is to be sentenced June 19.

Contact Michael Hinkelman at 215-852-2656 or hinkelm@phillynews.com, or follow on Twitter at @MHinkelman.