Footage of a police officer emptying the wallet of a hot dog seller in California has caused outrage.

The officer said he emptied out the wallet because the street seller did not have a permit.

Martin Flores witnessed the incident as he queued up to buy a hot dog outside the University of California, Berkeley, after a football game.

He posted the video online and can be heard repeating "that's not right" as the police officer empties the wallet after asking the street seller for ID.

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Flores then asks the officer why he's taking the man's "hard-earned money", as he sees $60 being removed from the wallet.

"Yeah, well he doesn't have a permit. He doesn't have a permit," the officer responds.

The video has since gone viral with many people commenting online in support of the street seller, since then identified as Juan Beto.

Flores also set up a GoFundMe page to raise money to cover Beto's legal fees.

At the time of writing, the page had raised nearly $66,000.