CPD said Deputy Chief Roberto Nieves, 53, and police officer Jacob Gies, 26, both surrendered Thursday at the 1st District Police Station for an incident that happened on June 7.
The officers are accused of slashing the car tires during the weekend of the Puerto Rican festivities in June of this year.
Juventino Cortezano is one of the officers' alleged victims. He said it happened during some chaos on the back end of Chicago's Puerto Rican Parade on June 7.
"One of my guys that was right there, he started calling me like, 'Hey Tino, look, they have a bunch of police right here around the cars and they started poking the tires,' so that's when I started running toward my vehicle," he said. "He was able to capture that video for me."
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The cell phone video shows a crush of CPD officers and the moment one appears to put a knife in the tire of Cortezano's Slingshot three-wheeled motorcycle.
"I just seen a bunch of vehicles being impounded, police everywhere, just a mob," he said.
CPD said Nieves was one of the knife-wielding officers. He has now been demoted to the rank of captain and is facing one charge of misdemeanor criminal damage to property worth less than $500.
Gies faces two counts of misdemeanor criminal damage to property worth less than $500, but CPD did not give details about what damage he allegedly caused.
CPD said the officers had been trying to clear the alleyway to investigate a shooting.
"They started poking everyone's tires, I guess out of rage, you know, from my perspective," Cortezano said. "For all the car that got their tires popped in that alleyway, I say that we didn't deserve that because we weren't part of that shooting that happened."
Cortezano said he never filed a formal complaint until detectives arrived at his suburban home in August. He said it cost him more than $1,000 to repair his vehicles and get them running again.