Home / Crime and Justice / Military Towing Company Fined $160K for Illegally Selling Cars
Military Towing Company Fined $160K for Illegally Selling Cars
15 Jul
Summary
- Tow company illegally auctioned nearly 150 military-owned vehicles.
- S&K Towing Inc. agreed to a $160,000 settlement with the Justice Department.
- The company violated the Servicemembers Civil Relief Act by not obtaining court orders.
S&K Towing Inc., a San Clemente-based towing company, has agreed to a substantial $160,000 settlement with the Justice Department. This settlement resolves allegations that the company illegally auctioned off nearly 150 vehicles between August 2020 and April 2025. Many of these vehicles belonged to servicemembers stationed at Marine Corps Base Camp Pendleton.
The company's actions directly contravened the Servicemembers Civil Relief Act (SCRA). This federal law requires tow companies to obtain a court order before disposing of a vehicle owned by a protected servicemember. Reports indicate S&K Towing continued auctions even when informed the vehicle's owner was in the military, with one manager dismissively stating, "We do this all the time."
The Justice Department emphasized that this settlement serves as a strong warning to all towing companies to respect servicemembers' rights and comply with SCRA regulations. S&K Towing is reportedly in the process of ceasing operations but has committed to adhering to SCRA policies if it reopens.
