PDA

View Full Version : Price Gouging During Dec. Ice Storm


Ostate
02-12-2008, 10:08 PM
A Tulsa businessman is charged with hiking his prices in the midst of a crisis that left the city struggling without electricity. News On 6 crime reporter Lori Fullbright reports when the Lieutenant Governor declared a state of emergency during the December ice storm, most people pitched in to help others, but some saw it as a chance to take advantage, to make a profit.

The Attorney General says that's exactly what one gas station owner did and there's warrant out for his arrest.

Many called December's ice storm, our worst ever, trees weighted down, onto power lines, leaving thousands in the dark and several people even died.

It was so bad, we went into a state of emergency and one thing that means is no one selling necessary goods and services can raise their price more than 10% above the pre-emergency price.

The News On 6 received calls from angry customers on December 11th, saying the Shell station on the corner of 31st & Memorial was jacking the prices unnecessarily.

Cameras showed people lined up waiting to buy gas and people not only filling up their tanks, but gas cans as well.

The owner had taken the price off the sign altogether, but cameras saw a pump registering $3.44 a gallon.

"I don't think it's fair cause we already having to pay to go and get food and all this other stuff. I don't agree with it," said Ife Baker.

"It's ridiculous. Just because they want to make an extra buck," said Jery Kilough.

The Attorney General says the owner of the M&F Mart, 38-year-old Mohammed Mannan had a pre-emergency price of $2.69 a gallon so the biggest increase he could have after the emergency declaration was 10% or $0.26 up to $2.95, but the Attorney General says he raised it at least $0.60.

"He's taking advantage of the circumstances. Gas is high enough now and it's really hard on elderly people and anybody trying to make it day to day," said Doris Hardgrove.

Mannan has been charged with three misdemeanor counts and could face up to a year in prison and a $1,000 fine on each count.

Mannan was working on Tuesday, but he wouldn't answer any questions, just kept saying to call his lawyer.

When his attorney was called, The News On 6 was told the attorney is out of the country until Wednesday afternoon.

The Attorney General says it received 90 calls and 39 formal complaints about price gouging during the ice storm. The three big areas were gas prices, hotel rooms and generators. They're still investigating other cases.

allie
02-13-2008, 08:08 AM
I don't know about this guy in particular, but i do know that during the first ice storm (2002?? whatever year) we were accused of price gouging. What people didn't realize was that the oil companies were raising our cost hourly and we were making less profit than we were the day before despite the fact that gas was going through the roof.

Gas prices are insane, but most of the time the local gas station isn't making but a few cents a gallon. Between high prices at the rack and the 40 cents (not exact but close) a gallon taxes and delivery prices, fuel is not exactly a cash cow.

Ostate
02-15-2008, 08:14 AM
I don't know about this guy in particular, but i do know that during the first ice storm (2002?? whatever year) we were accused of price gouging. What people didn't realize was that the oil companies were raising our cost hourly and we were making less profit than we were the day before despite the fact that gas was going through the roof.

Gas prices are insane, but most of the time the local gas station isn't making but a few cents a gallon. Between high prices at the rack and the 40 cents (not exact but close) a gallon taxes and delivery prices, fuel is not exactly a cash cow.

I feel if a oil Co. or supplier that is raising there rates because a out of state office tells them to, then that oil Co. or supplier is breaking the law. Even though they are out of state they can not raise there rates then sell it at there new higher rate here if we are under a state emergency or nature disaster. All prices must remain the same price before the governor declares the state as such. Yes, prices can go up 10% but that is it nothing more. I don't care if we are paying 1.00 gas and everyone else is paying 4.00 gas they can't raise it up past the 10% or 1.10. If the oil co. make the stations pay normal price then they are breaking the law! This goes with any other store and their instate or out of state supplier.

If this isn't how it is then it should be and should be made that way but far as I understand the law it is that way now.