The police followed you home? Then his statement to the DA that he then arrested you for driving without a license will hold up in court. I assume that they knew your license had been suspended? Or is there more to this story, a history of drugs perhaps, stolen goods, what? With an expensive lawyer, you might be able to fight the car search, but I doubt it. And certainly not the tow.
Even little old ladies driving without a license can have their car towed.
I once had to walk home in the dark on a snowy winter night because I got stopped for speeding about 2 days after my license had expired. The cop took my car keys. He graciously didn't tow the car, the creep.