09 Nov 2012
The
state of New Jersey is filing lawsuits against seven gas stations and a
motel owner for raising the prices of fuel and other commodity items
during hurricane Sandy, media reported.
The announcement was made by Attorney General Jeff Chiesa at a news conference on Friday.
“The fact that we have these fringe businesses that think that disasters are a profit center is troubling,” Chiesa said. “If you try to do this, we’re going to be on top of it.”
The companies are Kistruga Inc. in Paterson; C.S. George and Sons in Clifton; Alen Service Corp. in Newark; Vinny Fuel Corporation in Bloomfield; Perth Amboy NJPO; S&D LLC in Lyndhurst; Couto and Sons in Newark; and Ratana Hospitality Group (Howard Johnson) in Parsippany.
Here are the seven gas stations and one hotel accused of price gouging, along with the alleged markup amount:
• Lukoil – 253 McBride Ave., Paterson (59 percent)
• George’s Gulf – 387 Crocks Ave., Clifton (34 percent)
• Lukoil – 335 McCarter Highway, Newark (31 percent)
• Delta – 141 Bloomfield Ave., Bloomfield (25 percent)
• BP – 163 Fayette St., Perth Amboy (33 percent)
• Exxon – 555 Riverside Ave., Lyndhurst (21 percent)
• Sunoco – 69 Wilson Ave., Newark (17 percent)
• Howard Johnson Express – 625 Rt. 46 E, Parsippany (32 percent)
The seven gas stations and one motel are the first businesses to be charged in Hurricane Sandy, though the AG’s office has received about 2,000 complaints and issued 170 subpoenas.
Chiesa promised more lawsuits as time goes on and warned people how to deal with potential gougers.
“One of the most important things you can do is demand a written receipt,” he said.
Of the subpoenas issued, roughly 83 percent involve gas stations. Motels are the runner-up.
As residents reconstruct from storm damage, Chiesa warned of charity and home improvement scams.
State law makes it illegal to boost prices excessively during a declared state of emergency or for 30 days thereafter. According to the statute, an excessive price increase is any rise of 10 percent over the normal cost for an item.
The companies charged are accused of raising prices between 17 to 59 percent, officials said.
Violators face civil penalties of up to $10,000 for the first offense and $20,000 for subsequent offenses.
Chiesa commended the Division of Consumer Affairs for working through weekends and without power to track gougers.
“Our commitment is unwavering to see that people who have been exploited get justice in this tragedy
The announcement was made by Attorney General Jeff Chiesa at a news conference on Friday.
“The fact that we have these fringe businesses that think that disasters are a profit center is troubling,” Chiesa said. “If you try to do this, we’re going to be on top of it.”
The companies are Kistruga Inc. in Paterson; C.S. George and Sons in Clifton; Alen Service Corp. in Newark; Vinny Fuel Corporation in Bloomfield; Perth Amboy NJPO; S&D LLC in Lyndhurst; Couto and Sons in Newark; and Ratana Hospitality Group (Howard Johnson) in Parsippany.
Here are the seven gas stations and one hotel accused of price gouging, along with the alleged markup amount:
• Lukoil – 253 McBride Ave., Paterson (59 percent)
• George’s Gulf – 387 Crocks Ave., Clifton (34 percent)
• Lukoil – 335 McCarter Highway, Newark (31 percent)
• Delta – 141 Bloomfield Ave., Bloomfield (25 percent)
• BP – 163 Fayette St., Perth Amboy (33 percent)
• Exxon – 555 Riverside Ave., Lyndhurst (21 percent)
• Sunoco – 69 Wilson Ave., Newark (17 percent)
• Howard Johnson Express – 625 Rt. 46 E, Parsippany (32 percent)
The seven gas stations and one motel are the first businesses to be charged in Hurricane Sandy, though the AG’s office has received about 2,000 complaints and issued 170 subpoenas.
Chiesa promised more lawsuits as time goes on and warned people how to deal with potential gougers.
“One of the most important things you can do is demand a written receipt,” he said.
Of the subpoenas issued, roughly 83 percent involve gas stations. Motels are the runner-up.
As residents reconstruct from storm damage, Chiesa warned of charity and home improvement scams.
State law makes it illegal to boost prices excessively during a declared state of emergency or for 30 days thereafter. According to the statute, an excessive price increase is any rise of 10 percent over the normal cost for an item.
The companies charged are accused of raising prices between 17 to 59 percent, officials said.
Violators face civil penalties of up to $10,000 for the first offense and $20,000 for subsequent offenses.
Chiesa commended the Division of Consumer Affairs for working through weekends and without power to track gougers.
“Our commitment is unwavering to see that people who have been exploited get justice in this tragedy
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