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New York Attorney General Eric Schneiderman at a news conference yesterday Carolyn Kaster/AP/Press Association Images

Inquiry into overpricing in New York in aftermath of storm Sandy

The state’s attorney general is investigating alleged price gouging as the cost of petrol and emergency supplies rose in the aftermath of the storm last week.

NEW YORK’S ATTORNEY General has announced an inquiry into alleged “price gouging” following hundreds of reports of overpricing in the wake of superstorm Sandy which battered the US coast last week.

Announcing his inquiry last night Eric Schneiderman said that there had been a large number of complaints about prices being increased by retailers in the wake of the storm, specifically petrol prices.

Emergency supplies like generators, food and water have also reportedly seen a price increase in recent days with hotels said to be hiking their rates in response to ‘high demand’ as some residents are left without homes in the aftermath of the storm.

The Attorney General said that while complaints might not meet the threshold to prove a violation of the New York’s law on price gouging, consumers should contact his office if they consider prices to be suspicious.

“Our office has zero tolerance for price gouging,” he said.

We are actively investigating hundreds of complaints we’ve received from consumers of businesses preying on victims of Hurricane Sandy, and will do everything we can to stop unscrupulous individuals from taking advantage of New Yorkers trying to rebuild their lives.

The state’s price gouging law prohibits merchants from taking unfair advantage of consumers by selling goods or services for an “unconsciously excessive price” during an “abnormal market disruption”.

Meanwhile the cost of New York’s response to the disaster is estimated to have spiralled to some $85 million dollars with storm damage affecting preparations for the presidential election today as some polling stations are closed.

Under an executive order signed by the state’s governor Andrew Cuomo, New Yorkers will be able to vote at any polling station in the state, BBC News reports.

Read: Obama or Romney? Voters go to the polls in US presidential election

Read: Sons of Irish emigrant swept away in storm as mother ‘couldn’t get help’

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16 Comments
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    Mute RedtheGoldenRetweetr
    Favourite RedtheGoldenRetweetr
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    Nov 6th 2012, 9:45 AM

    Retailers dont do themselves any favours with this sort of behavior

    91
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    Mute Nivag Yeoh
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    Nov 6th 2012, 10:14 AM

    Is it not pure free Market economics? The very cornerstone of America?? “Ooh Say can you Seeee, by the Dawn’s early liiiiggght??”

    *pssst, I think it’s a shoddy practice*

    64
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    Mute Nivag Yeoh
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    Nov 6th 2012, 10:09 AM

    It’s like Ireland after the Euro was brought in – overnight everything went up and crept further up while we did the conversion arithmetic.

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    Mute Declan Noonan
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    Nov 6th 2012, 11:51 AM

    What f#~” has the euro got to do with this!? You should focus on the story.

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    Mute Nivag Yeoh
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    Nov 6th 2012, 1:03 PM

    ffs

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    Mute Alan Duff
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    Nov 6th 2012, 10:02 AM

    Following the horrific scenes caused by hurricane sandy fire fighters are getting numerous reports of a tree stuck up a cat.

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    Mute John L'Estrange
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    Nov 6th 2012, 10:06 AM

    Feckin gougers!

    24
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    Mute Seamus McKenzie
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    Nov 6th 2012, 10:46 AM

    @nivagh spot on. I remember that when the euro came in. Everything shot up in price over night. and any increase I got in the PPF were swallowed up.

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    Mute Paul Breen
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    Nov 6th 2012, 10:34 AM

    It’s just the free market at work, what’s the problem. The free market is always right, correct?

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    Mute Garry Fitzgerald
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    Nov 6th 2012, 11:18 AM

    It’s a breach of law !

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    Mute Michael
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    Nov 6th 2012, 1:58 PM

    It sure is. I’m looking for a time in history when price fixing has worked before.

    A certain Orwell book seemed to have it working ok

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    Mute Rory Conway
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    Nov 6th 2012, 1:30 PM

    The great Capitalist USA

    7
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    Mute John Broderick
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    Nov 6th 2012, 11:06 AM

    Awful but not surprising, greed in the aftermath of something like this is always evident and also very sad.

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    Mute Stephen Church
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    Nov 6th 2012, 10:20 AM

    Always a silver lining , if they pay me enough ill ship them generators and water

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    Mute Lou Brennan
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    Nov 6th 2012, 12:45 PM

    Overpricing in New York? News?

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    Mute Michael
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    Nov 6th 2012, 1:55 PM

    Price fixing has never worked and will never work.

    Let people pay the right price so that it gives reason for others to supply more.

    Or complain about the black market…that works too

    2
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