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Newsjock Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 09:44 PM
Original message
Gas Station Owner Told to Raise Prices
Source: Associated Press

Merrill, Wis. (AP) -- A service station that offered discounted gas to senior citizens and people supporting youth sports has been ordered by the state to raise its prices. Center City BP owner Raj Bhandari has been offering senior citizens a 2 cent per gallon price break and discount cards that let sports boosters pay 3 cents less per gallon.

But the state Department of Agriculture, Trade and Consumer Protection says those deals are too good: They violate Wisconsin's Unfair Sales Act, which requires stations to sell gas for about 9.2 percent more than the wholesale price.

Bhandari said he received a letter from the state auditor in late April saying the state would sue him if he did not raise his prices. The state could penalize him for each discounted gallon he sold, with the fine determined by a judge.

Read more: http://sfgate.com/cgi-bin/article.cgi?f=/n/a/2007/05/08/national/a130835D59.DTL
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Monkeyman Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 09:46 PM
Response to Original message
1. Dam
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Viva_La_Revolution Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 09:46 PM
Response to Original message
2. it's not fair...
the elderly should get the biggest discount.
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cloudbase Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 09:47 PM
Response to Original message
3. Only in America!
Is this a great country, or what? And I thought the Texas legislature came up with some stupid laws.
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TechBear_Seattle Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 10:40 PM
Response to Reply #3
10. It is one of those laws that cuts both ways
Think of it this way: requires stations to sell gas for about 9.2 percent means that they are prohibited by law from selling gasoline at 10% or 20% or 100% above wholesale. It prevents both price gouging and undercutting to the point of driving other stations out of business.
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Orsino Donating Member (1000+ posts) Send PM | Profile | Ignore Wed May-09-07 07:03 AM
Response to Reply #10
11. And there's a way around it for this kindly station owner.
He can offer deeper discounts to seniors on everything else. Similar effect, but in compliance with the law.
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Rude Horner Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 10:07 PM
Response to Original message
4. I live near Madison, WI
and something similar happened a while back ago concerning a grocery chain up here, that also has gas pumps. They were offering customers, who showed their grocery receipt, a discount on gas. The State stepped in and told them they couldn't do that.

Nice that the Department of "Consumer Protection" is really protecting us consumers, eh?
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buddysmellgood Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 10:14 PM
Response to Reply #4
5. The law came about because big oil was selling at a loss to drive the mom an pops under.
Big Oil won anyway. Now the law is used against mom and pop.
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Psephos Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 10:15 PM
Response to Reply #5
6. There's a lesson in there somewhere n/t
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RamboLiberal Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 10:16 PM
Response to Reply #4
7. Don't give Pennsylvania any ideas - Hope we don't have that
kind of law. Large local grocery chain in SW PA area and East Ohio offers .10 a gallon off for every $50 spent for groceries, prescriptions, gift cards. Tonight I had .70 cents off so I was paying $2.19 a gallon. Only thing making my gas budget manageable. State did rule that milk couldn't count in the gas discounts.
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texastoast Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 10:19 PM
Response to Original message
8. Not surprising
We are seeing a WIDE range of gas prices here close to the refineries.

Best thing for me to do is buy a scooter. I have no faith in America's idea of marketing when it comes to gas prices. Crockola.
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1932 Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-08-07 10:35 PM
Response to Original message
9. That's a stark lesson in who your government represents.
And it isn't the people.
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Ethelk2044 Donating Member (1000+ posts) Send PM | Profile | Ignore Wed May-09-07 07:20 AM
Response to Original message
12. He needs to write
His Senators and House of Rep. We all do because gas prices are too high.
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Toots Donating Member (1000+ posts) Send PM | Profile | Ignore Wed May-09-07 07:57 AM
Response to Original message
13. I thought them Texans were strong on Capitalism but apparently not
They don't like government unless it is used to support the oil industry..
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