Private hire driver Khalid Nagi illegally picked up two people on Berry Sreet last April and agreed to take them to their destination.
The journey actually ended with a hearing at Liverpool Magistrates Court for Nagi, because his two passengers were undercover officers.
The 32 year-old driver from Woodland Road broke the rules of his licence by agreeing to take the pair to Speke and charging them £12.50.
Private hire drivers are only able to carry passengers who have booked their journey in advance. In agreeing to take the fare Nagi was also uninsured for the journey.
The two officers were taking part in a city council operation to crackdown on private hire drivers who flout the rules.
At court, Nagi, who is licensed as a private hire driver by Sefton Council, admitted the offence, known as plying for hire. However, he argued that he would have been insured for the journey. The court was not satisfied that he was covered and fined him £690 for driving without insurance. He was fined a further £250 for plying for hire and ordered to pay costs and a victim surcharge of £344. He also received six penalty points.