Police warn residents about price gouging
By RICHARD WALKER, T&D Staff Writer Saturday, January 31, 20045 comment(s) | Default | Large
Law enforcement officials say Lowcountry residents should be commended for incidents of compassion and generosity following the ice storm that buried much of the state in an icy igloo this week.
Unfortunately, there were incidents of greed reported as well.
A Columbia woman said at least one Orangeburg motel was taking advantage of the thousands who lost power this week during the blackout.
"I paid for my son and my mother for their lodging because they were without power," the woman said. "But when they got there, the rate had nearly doubled."
Another woman said that when she tried to have her propane tanks refilled this week, the rate skyrocketed.
These are some of the incidents being reported around Orangeburg County.
But the practice of raising prices in the midst of an emergency not only raises a moral issue, but is illegal, says Trey Walker, spokesman for the South Carolina Attorney General's Office.
If a state of emergency has been declared, it is against the law to raise the price of consumables, such as hotel lodging, food, gas, water and ice.
South Carolina State Code 39-5-145 states in part that an "unconscionable price means an amount charged ... grossly exceeds the average price at which the same or similar commodity, dwelling unit, including a motel or hotel unit or other temporary lodging, or self-storage facility readily obtainable in the trade area during the 30 days immediately before a declaration of a state emergency."
"Price gouging happens when the governor declares a state of emergency," Walker said. "Basically, it's illegal for anyone to charge for goods at a rate higher than fair market value."
When Hurricane Hugo barreled into South Carolina's coast in 1989, state laws concerning price gouging had no teeth, Walker said.
However, while the state dug itself from underneath the debris, the situation came to a head.
Walker relates an incident in which Charleston police chief Rubin Greenburg came upon a clear case of greed.
Out on patrol following the devastation after Hurricane Hugo, Greenburg located an individual selling chain saws from the back of a tractor trailer. The price for per chain saw was $1,000, Walker said.
"So, he (Greenburg) jumps out (of his car) and tells the guy to get lost," Walker said. "And he gave them out to those standing in line."
On Tuesday, Gov. Mark Sanford declared a state of emergency in South Carolina.
"Whether you're in the Upstate, the Midlands or even parts of the Lowcountry -- this is a serious storm, and the temperatures we're going to see tonight will make our roads even more dangerous than they are right now," Sanford stated in a press release.
And that is the key to price gouging -- the governor of the state making that declaration of an emergency.
Hotels routinely raise rates for scheduled events, such as South Carolina State University's Homecoming, the Grand American Coon Hunt at the Orangeburg County Fairgrounds or other planned events.
But when the declaration is made, prices are to remain fixed at the rate charged within the 30 days prior to the emergency, according to state statute.
Problems in prosecution arise when the incidents are not reported.
During situations such as this week's ice storm, law enforcement officials become flooded with calls for transportation of medical and emergency personnel, security checks on the elderly and traffic control.
Lost in the shuffle are incidents regarding those preying on the needy.
But people who think they've been had should report the incident rather than dismiss it, Walker said. Under the statute of limitations, victims have three years to file a report.
"Law enforcement is responsive to the public," Walker said. "If they have a large number of reports of this type of incident, they're going to respond to it."
The fact that few incidents have been reported is reflected in the police reports. But Orangeburg County Sheriff's Office Maj. Barbara Walter feels the incidents are out there -- but not reported.
"File a report, then we would see if it fell within the time frame (of a declaration of a state of emergency)," Walters said. "We will certainly take the report and take it to the next level."
Price gouging is a misdemeanor. A first offense carries a sentence 30 days in jail or up to $1,000 in fines.
"Sunshine is the best disinfectant," Walker said. "Call the non-emergency number of the local law enforcement agency and report it."
T&D Staff Writer Richard Walker can be reached by e-mail at rwalker@timesanddemocrat.com or by phone at 803-533-5516.
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