Detroit, MI — A years-long federal investigation has laid bare a network of corruption involving Detroit’s municipal towing operations, implicating elected officials, police officers, and politically connected business owners in a bribery and favoritism scheme that put private profits above public trust.
The scandal began unraveling publicly in 2021, when FBI agents raided Detroit City Hall, seizing records from multiple city council offices as part of an investigation into alleged misconduct involving city towing contracts.
Councilman Andre Spivey Pleads Guilty
In September 2021, Detroit City Councilman Andre Spivey pleaded guilty in federal court to accepting more than $35,000 in bribes from an undercover FBI informant between 2018 and 2020.
“I accepted money for the performance of my official duties,” Spivey told the court.
(Source: U.S. District Court records, Eastern District of Michigan)
He was sentenced in January 2022 to two years in federal prison.
Political Fallout and Additional Raids
The FBI also served subpoenas and executed search warrants at the offices and homes of Councilmembers Janeé Ayers and Scott Benson, though neither has been charged to date. The investigation focused heavily on how towing companies were selected for the city’s impound rotation and whether bribes or political favors were involved in securing lucrative contracts.
“This is a serious matter and we are cooperating with federal authorities,” a spokesperson for the City of Detroit said at the time.
(Source: Detroit Free Press, July 2021)
Inspector General Report Exposes Broken Oversight
A 2021 report from Detroit’s Office of the Inspector General (OIG) found that the city’s towing permit process was rife with favoritism and lacked transparency.
“The city’s current system does not ensure fairness, efficiency, or protection of the public interest,” the report stated.
(Source: Detroit OIG Report, 2021)
The OIG criticized the lack of oversight over how police officers and city departments referred towing companies, raising concerns about improper relationships between tow yard operators and city officials.
Mayor Duggan’s Administration Under Scrutiny
Although Mayor Mike Duggan was not personally accused of wrongdoing, his administration faced sharp criticism for allowing politically connected tow operators to receive special treatment. Duggan initially claimed the towing system was a police matter, not one under his administration’s direct control.
“We don’t run the tow rotation system,” Duggan said in a July 2021 press conference. “That’s handled internally by DPD. If changes need to be made, we’ll make them.”
(Source: FOX 2 Detroit, July 2021)
However, internal emails later revealed that Duggan’s staff closely monitored towing policies and permit applications, raising questions about the extent of mayoral oversight.
Reform Efforts and Public Reaction
In response to the scandal, the Detroit City Council in 2022 passed legislation requiring more oversight and transparency in towing rotations, including public disclosure of contracts and a competitive bidding process for city-authorized towing companies.
“It is critical that we rebuild public trust,” said Council President Mary Sheffield.
(Source: Detroit City Council press release, 2022)
Despite reform efforts, watchdogs and community organizations continue to push for full accountability and restitution for residents affected by questionable tows, excessive fees, and lack of due process.
Federal Investigation Ongoing
The Department of Justice has confirmed that its investigation remains open, with no timeline yet announced for further indictments or reports. Community advocates are now calling for the U.S. Attorney’s Office to release a full accounting of misconduct uncovered during the probe.
Motor City News will continue to follow this developing story and provide updates as new information comes to light.
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