you lose $5000 at most

I think you lose $5000 at most. I believe your friend will pay you $5000 back. I guess your friend was emotional unstable and made such a bad mistake. anyway, if you two are good friends, take care of him. Otherwise, it is upon to your judgement. There are probably some troubles for you. However, if it is me, I think it worth to save a friend from the jail.