Guitar I Lended To A Coworker Was “stolen”

I lended a guitar to a coworker so he could play it in a gig a week ago, and today when I asked for it back he told me that it was stolen from his house over the weekend. Personally I don’t believe him. I asked if he called the police to which he said he did. I asked him for the case #, and I have friends in the police department I will confirm with once he gives it to me. Assuming he’s telling the truth than it is what it is. But if there is no case number, what should be my next steps? The guitar is about $900 in value, I have ownership papers of the guitar and witnesses that can attest that I did loan it to him, not sell or give it. This is happening in Maryland. I just need to know what I can do to either A: recover my property. Or B: be fairly compensated for it.
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