Price-gouge investigation continues in Lynchburg area

By Bryan Gentry

Published: November 18, 2008

State investigators are still looking into accusations that gas stations broke the law in September by raising their prices suddenly two months ago.

That’s when oil refineries in the Gulf Coast shut down to prepare for landfall of Hurricane Ike.

The Lynchburg area saw a run on gas stations as drivers hoped to fill up before gas was gone or became more expensive.

Many local gas stations raised prices 50 cents per gallon. Some charged as much as $4.99 a gallon.

Virginia’s price-gouging law forbids businesses from sharply increasing the price of necessary goods — such as gas or food — during a state of emergency.

However, businesses are off the hook if the price increase is tied to an increase in the cost of providing the products, such as a run-up in wholesale gas prices.

The state attorney general’s office is still working with the Department of Agriculture and Consumer Services to look into price gouging complaints, said attorney general spokesman David Clementson.

He would not say whether any investigations are ongoing in the Lynchburg area or whether any local businesses have been cleared.

He said no public action has been taken.