The Mobile Police Department have arrested the owners of SOS Towing after executing a seizure warrant today at their business located in the 800 block Ashford Road. In the ongoing investigation of suspected violations, Gary Lamar Smith Sr. and Gary Lamar Smith Jr. face eight counts of first-degree insurance fraud and two counts of second-degree insurance fraud.
Insurance fraud in the first degree is an act prohibited by Alabama state statute Section 27-12A-3 and Section 27-12A-4 in cases where the loss or potential loss exceeds $1,000. In cases where the loss or potential loss does not exceed $1,000 it constitutes insurance fraud in the second degree.
The criminal investigation was opened after receiving information that the towing company was charging fees above those regulated by municipal ordinance.
Four wreckers were seized during this investigation.