Car title trouble

I cleaned a property a couple years ago. There was a car abandoned on the property and the property owner wanted it gone. So he told me to get rid of it. The last time it was inspected was 1999. Same with the registration. It was probably on the property since 1999. I checked the vin and it's not stolen. I've had it sitting on my property for two years. I decided I would like to rid of it. I am in PA. I figured out the only way I can get a title is if I go to court. It's a cool car but not valuable enough to waste that much time or money. I tried to sell it without a title and I had a few offers. The last guy was a cop that warned me that I could get a felony for selling a car without a title. It just so happens he wants the car and it's just by chance he says he knows the previous owner of the car. And says he can find the previous owner. Can I actually get in serious trouble for trying to sell it or was this guy trying to shake me down? I would understand why this would be illegal but it just sucks. I'm just not sure what do with this car if I can't sell it. I've got a little work into the car and I've been storing it for awhile so I would like to get something out of it. Isn't kind of illegal for cop to search for someone to benefit themselves?

In PA, as well as many other states, you can file to place a lien on the vehicle as abandoned. This link has some info for you.

http://www.dot.state.pa.us/public/dvspubsforms/BMV/BMV%20Fact%20Sheets/fs-davp.pdf