Someone left items at my house and I sold them. Read more...?

My friend got kicked out of his for using methadone illegally. I let him stay at my house for 3 days and he left a set of knives for a job that he had never sold. I stopped talking to him because he was cheating on my friend, and a month and a half later I sold the knives. I told him to pick up his stuff but he never did and that is why i sold it. Today he called me asking for the knives and I told him I sold them. He starts saying hes going to get me arrested for "Grand Larceny", when the knife values were each under $35.00. I agreed to give him back the knives or pay him because I know what I did was wrong. But, legally do I have to pay him? Since he left his knives at my house, and I told him to pick them up (He never picked them up). It's not like I sold them within the day he left. I waited a long time and he never cared for them until someone told him that I sold them. He probably would have never picked them up otherwise.