In California you can only carry a fixed blade on your belt. The crazy thing is that you can conceal any size folder.
You are actually luck you were not charged for concealing a dirk/dagger style knife (fixed blade with not hand guard). That is a fellony. You can consider your lost knife a knowledge tax.
If you are new to California you should give this a read:
http://oag.ca.gov/sites/all/files/pdfs/f...e3774/1/hilite/It will save you a lot of greif.