Police remove upside down flag for 4th then return it the next day

There is a huge debate as to if the reason this flag was being flown upside down was appropriate or not. I do not wish to enter that debate, though some of you may.

Flying or displaying the flag upside down is an acceptable method of displying the flag as a signal of dire distress and in instances of extreme danger to life or property. This is accoring to Title 36, U.S.C., Chapter 10, § 176.

DSIPLAYING THE FLAG UPSIDE DOWN

My issue is that the town police, on the judgement of the District Attorney removed the flag for the 4th of July parade because "It is illegal to cause a disruption," he said. "There were a lot of vets at that parade." The person flying the flag is an Iraq War Vet who had spent over $200,000 remodeling a restaurant before the town of Critvitz decided not to issue him a liqueur licence for an Italian Restaurant. He started flying the flag in mid-june.

My question is do the police have the right to sieze this flag that is being flow as a protest? Is this supported by the 1st amendment or not? After all people are allowed to burn the flag? How many people flew an upside down flag to protest President Bush?

"It is pretty bad when I go and fight a tyrannical government somewhere else," Congine said, "and then I come home to find it right here at my front door."