Friend got a car loan. Lost just job. She's avoiding turning the car in. Burglary, Arson, Home Invasion

It is not theft. You didn't go into enough detail but if she committed fraud in any way that could be a problem, but it doesn't appear to be the case.
The car can be repossessed but she won't go to jail for not paying the loan unless her parole/probation terms address her finances for some reason.
There are no good reasons for her to not return the vehicle. It would be best to return it as soon as possible.

 

https://www.revisor.mn.gov/statutes/cite/609.62

She's violating her probation by committing a crime.

She needs to turn in the car or she'll be in prison (on both charges) where she won't need one.

 

Maybe. We don't know that she has been contacted or what she has been told. According to this it was her mother who was contacted. We also have no time frame of the events.
Without more information it is a major leap to assume possible incarceration.

 

I'm comfortable making that leap. The borrower needs to know that the consequences of hiding the car could be dire.

 

Well it would have to extend to pretty great lengths to ever even be reported as a criminal matter.
It is far more likely to be resolved with repossession. It may never be on the radar for probation/parole unless they monitor finances, which is unlikely.

 

You can't do anything. You can't "knock" sense into her either. Best to just step away from this clusterf* and let her wear her big girl pants.