SAN FRANCISCO (KGO) — The city of San Francisco is taking action against a towing company they say has a history of illegally towing vehicles.

Almost a year since the San Francisco City Attorney’s office began proceedings against “Auto Towing” citing this company violated multiple state and local laws by illegally towing vehicles from private property. Now, the city is taking a step further.

“We provided enough evidence such that Auto Towing could be permanently barred from doing business with the city for the next 5 years,” said San Francisco City Attorney, David Chiu.

Chiu said his office has a list of illegal tactics used by Auto Towing. In a statement Chiu added, “This company intentionally misled and scammed people out of hundreds of dollars by illegally towing cars. Our City has no interest in contracting with exploitative businesses engaged in illegal conduct.”

During their investigation, the city attorney’s office found that they owners of Auto Towing are also the owners of two other towing companies.

One of them is called “Specialty Towing.” In April, we reported on a tow truck with the name “Specialty Towing” that tried to hook a vehicle waiting at a red light.

“There was a towing truck that had the names “Specialty Towing” that was engaged in what appeared to be criminal activity by attempting to take a car with individuals in it. That investigation I know is ongoing, but it doesn’t look great for these affiliated companies either,” said Chiu.

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ABC7 went to Auto Towing in San Francisco’s Bayview neighborhood. Their lot had two cars inside, but no one inside.

We called the number on the sign outside their business.

A general operator said Auto Towing hasn’t paid for the operator service in months.

Shamann Walton, supervisor for this district, is aware of this company.

“They would take cars from the address of record to another site and people would have to take longer to be able to locate their vehicle which in the towing world it increases the cost for you to get your car back. So, they made it difficult and, in some cases, impossible for people to retrieve their cars,” said Walton.

Supervisor Walton said there are several towing companies in San Francisco known to perform illegal tactics.

“I’m glad the city attorney has ended this practice for one towing company and hopefully it resonates with the others,” said Walton.

As we dug deeper, City Attorney Chiu confirmed the owners of Auto Towing are facing more than a ban from the city.

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In a separate case, the owners of Auto Towing were charged with welfare fraud.

In a statement, the San Francisco district attorney’s office said:

“Fuentes and Badillo were each charged in connection to welfare fraud. They were arraigned in February of this year and pleaded not guilty to all charges. Their next court date is September 11, 2024, for a prehearing conference.

Fuentes is charged with 12 felony counts in connection to welfare fraud. Charged with one count of misappropriation of public funds, two counts of obtaining aid by misrepresentation, one count of filing a false declaration of eligibility, two counts of grand theft and six counts of perjury under oath.

Badillo is charged with eight felony counts including one count of obtaining aid by misrepresentation, one count of filing a false declaration of eligibility one count of grand theft and four counts of perjury under oath.”

Regarding the two other towing companies owned by the owners of Auto Towing, city attorney Chiu said they are still suspended from doing businesses with the city.

“They have been suspended indefinitely while a criminal proceeding against the owners of their company are proceeding,” said Chiu.