Philly Towing Co Gouged Drivers, Insurers With Bogus Fees: DA

PHILADELPHIA — The owners of a Philadelphia towing company are facing fraud, conspiracy, and related charges, according to the Philadelphia District Attorney's Office.

District Attorney Larry Krasner Wednesday announced charges against Joseph Moreno, 47, and Dwight Williams, 29, both of Philadelphia and owners of Hooked Inc. towing.

The pair face charges of conspiracy, theft by deception, deceptive business practices and fraud. Charges were filed following an 18-month-long grand jury investigation.

Moreno and Williams are accused of gouging insurance companies and vehicle owners with unfair towing and storage rates, according to the DA's office.

The pair face charges of racketeer influence and corrupt organization, theft by deception, deceptive practices, and insurance fraud, the DA's office said.

Moreno and Williams surrendered to police March 19.

Krasner said the case could be the first of its kind in the country and involved millions of dollars.

During Wednesday's press conference, Krasner laid out just one example of the businesses alleged deceptive practices.

Krasner said following a car crash in Roxborough, the company allegedly pressured the victim of the crash to sign a towing slip while the victim was in an ambulance.

The DA's office alleges Hooked Inc. subsequently billed Allstate $1,221.25 for one day of storage, $300 for the tow itself at $11.25 per mile, an $80 administration fee, a $350 labor fee, $175 for a winch, $45 a day for storage and 22.5 percent tax.

In another instance, Krasner alleged the company towed a rental car after a crash in Northeast Philadelphia while posing as employees from the rental company.

He went on to say the car was never returned to the rental company and the victim was then told she must locate the vehicle. He said the Philadelphia Police Department's auto theft unit helped locate the vehicle at Hooked Inc., which levied a $2,060 bill that broke down to $1200 for the tow, $250 for a "yard fee," $250 in administration fees, and $60 a day for storage. Krasner said the company wanted cash only for the bill, which he claims was a recurring theme among Hooked Inc.'s operations.