TALLAHASSEE, Fla. -- Despite thousands of complaints about price gouging, Florida officials have identified only one gas station in the Panhandle that may have illegally profited from Hurricane Ike, reported The St. Petersburg Times. Most gas stations that raised prices may have simply been passing on price increases from suppliers, Attorney General Bill McCollum said. Those suppliers are currently being scrutinized.
McCollum announced in a statement that his office has reached an agreement with a Quincy, Fla., gas station over allegations of price gouging in the wake of Hurricane Ike. [image-nocss] Kelly Junior No. 9 will pay $2,000 to the American Red Cross and will reimburse consumers who were overcharged for gasoline. The station will also reimburse the state for the costs associated with its investigation.
"While we are not finding widespread gouging at this point, we have found one case," McCollum told the newspaper. "We will probably find others. But it takes time to do this."
Consumers lodged more than 5,000 complaints about rising gasoline prices in the wake of the hurricane, which hit Texas on September 13. Of those complaints, as of late September, 275 were about stations in Hillsborough County; 170 in Pinellas; 182 in Pasco; and 37 in Hernando. A Dunedin man, for example, complained that gas went up nearly 93 cents to $4.64 a gallon. News reports that refineries would go offline prompted motorists to flock to gas stations, draining supplies.
McCollum subpoenaed records of four chains that his office said were targets of "particularly high" numbers of complaints: Flying J, Dodge's Gas Stores, Valero and Pilot Travel Centers. But last week, he said the chains have presented evidence, still being evaluated, that indicates they were passing on increases from suppliers.
Agriculture Commissioner Charles Bronson has requested records from 16 suppliers to determine if increases were justified. The companies had until last Tuesday to submit paperwork. The investigation is ongoing, said the report.
Kelly Junior No. 9 is an individually owned station. On September 12, the store began the day charging $3.99 per gallon for regular unleaded fuel, then increased the price twice during that same day, ending the day at $4.29 per gallon for regular unleaded fuel. Investigators believe the station sold 2,396 gallons at these inflated prices, which increased its profits by approximately $1,500 during a three-day period.
More than 100 customers were charged the inflated prices, the AG said.
In addition to making a $2,000 donation to the American Red Cross, the station must also make restitution to every customer who comes forward with a receipt in the full amount the customer was overcharged.
Kelly Junior No. 9 is owned by S and K of Quincy, Inc., who cooperated with the AG's investigation and agreed to adhere to the price gouging laws in the future.
Click herefor a copy of the settlement agreement.
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