Nine of the vehicles were impounded for operating without valid permits, while one was impounded for being in contravention of their permit.
Siyanda Jantjies, member of the Central Union Taxi Association (CUTA) said City officials had made concessions for unlicensed taxis to operate and bypass traffic enforcement.
Listen to the full conversation from CapeTalk's Breakfast with Kieno Kammies:
Meanhwile, MayCo member for transport Brett Herron said the letters granted to taxi drivers were only temporary measure to verify evidence.
The taxi drivers are allegedly disgruntled about being excluded in the MyCiti bus roll out, and of not being granted operating permits.
WATCH: Police disperse striking CT taxi drivers with stun grenades