Impound Yard Loses Police Trade Over Handling of Cars

A Van Nuys garage where some impounded cars had been improperly crushed or sold has given up its permit to tow cars impounded by police as a result of an agreement approved this week by the Los Angeles Police Commission, authorities said.

Fox Motors will stop towing cars impounded by police in the Van Nuys area on July 31, 1991, under the agreement approved Tuesday. The Police Department will find another Official Police Garage in the meantime.

Lt. Stella Mattson said the operators of the garage in the 15100 block of Erwin Street agreed to relinquish the lucrative police towing designation after detectives filed a 105-count report with the Police Commission that describes how several vehicles were allegedly sold without notifying their owners, the public or police, as required by law.

“They did not contest the accuracy of the counts we listed against them,” Mattson said of the operators.

The report lists eight vehicles that were sold and says that an unknown number of others were also improperly disposed of prior to the investigation. At least three of the cars improperly sold or used by Fox Motors were being held as evidence in murder investigations, but police said the loss of the cars did not compromise prosecution of the cases.

The accusation report filed earlier this year reads in part that Fox Motors “failed to conduct their business in an ethical and orderly manner so as to maintain public confidence.”

Police said the garage is owned by Henry F. Fox, 75, whose son William is general manager. The son said Wednesday that the garage disputes the findings of the police investigation but agreed to give up its Official Police Garage designation after 35 years to avoid a lengthy and costly legal battle.

“We deny being guilty of those accusations. We have not admitted any guilt,” William Fox said. “Henry Fox felt he could prove the accusations were untrue but we felt it would be six months of hearings with legal fees near $100,000. At this point in his life, he didn’t feel he could deal with the emotional stress and the costs.”

According to the police report, a 1968 Mercedes-Benz was impounded as evidence Jan. 19, 1988, after a man was killed in it. The victim’s name was not released. The report says the car was sold four months later without police knowledge for $1,000 by Fox Motors to Foxy Wheels, a car lot operated by members of the Fox family in Palm Springs. On Sept. 22, 1988, it was sold to a customer at the car lot for $5,695. It is unknown whether the customer knew that he was buying a car in which a man was killed.

Police began their investigation of Fox Motors after the former wife of the victim attempted to retrieve the car from police but learned from Fox Motors that it had been sold. She complained to police and an investigation was begun.

“Her vehicle was improperly disposed of and an investigation of that opened up other areas where we found problems,” Mattson said.

According to the police report, investigators learned that a 1971 Pontiac impounded as evidence in a Sepulveda-area murder was sold Jan. 4, 1988, by Fox Motors to a junkyard and crushed. Investigators also found that a motorcycle held as evidence in early 1988 in a murder investigation was being used by an employee at Fox Motors. The motorcycle was found by investigators at the employee’s residence.

Additionally, investigators found that a stolen Porsche impounded by police had been improperly bought by Fox Motors for $900. It was later sold by Car Connection, a Van Nuys car lot operated by members of the Fox family, for $4,100.

The commission report described several other violations of police garage regulations, such as misusing dealer license plates and allowing tow truck drivers to work without police permits.

Police said the case will be turned over to the city attorney’s office, which will determine whether criminal charges are warranted.