Seized to me, means the property is transferred out of my posession and into the city's, ans since I have to pay a "ransom" to get it back or it will permanently sold at auction I think seized is the right word.
The full story uses the term impounded. I believe that is accurate. If an auto was seized you would not be able to pay a fine and retrieve it. The vehicle would be sold at auction or put into use by the city without any regard for prior ownership.