As Mark Molner was driving home, thugs stopped him and one approached him with a drawn pistol, because a license plate reader had misread his car's license plate.

I don't see a scandal in what the thugs did in this case. Once the system said the car was stolen, they had to try to stop it and arrest the putative thief. We can hardly demand that license plate readers have a 0% error rate either.

What does strike me as scandalous is the idea of a "felony car stop" that involves pointing guns at the driver by default (without reason to think he is armed and dangerous). Innocent people have been killed that way.

I don't object to using license plate readers to detect cars that appear to be stolen or in some other way deserving of being stopped. The scandal is when they save data about cars that do not deserve to be stopped.