Pilot under investigation for gas gouging

Pilot under investigation for gas gouging

KNOXVILLE (WATE) -- Knoxville-based Pilot Travel Centers is under investigation for allegations of gas price gouging.

Pilot is one of four companies under scrutiny by the Florida attorney general's office, which issued subpoenas seeking information about gas price increases. This follows hundreds of complaints filed by residents starting on September 11.

Pilot said Sunday it's aware of the investigation and released this statement to 6 News:

"Pilot understands the severity of the situation created by the market disruption due to Hurricanes Gustav and Ike. Our priority has been to keep our customers supplied with fuel at prices commensurate with the cost we have paid to acquire the product. Pilot certainly will cooperate with the attorney general's inquiry into this matter and will provide whatever information necessary."

Meanwhile Tennessee's attorney general Robert Cooper says his office along with the Department of Commerce and Insurance have also launched a joint investigation to find out if gas stations in the state are price gouging.

The state says they are sending people out to investigate but would not name any specific companies under the microscope. The state has received more than 500 calls from concerned consumers. Cooper says there is no magic number that indicates price gouging but he is urging consumers to use their common sense and report any prices that are unreasonable. 

According to Florida law, price gouging on essentials such as gas is prohibited during a declared state of emergency. The state of emergency for Hurricane Ike was issued by Gov. Crist on September 5.

Also under Tennessee law, the state does not have to be in a state of emergency for price gouging to be illegal here. For example, although Hurricane Ike hit Texas, Knoxville gas stations caught price gouging will be fined $1,000 per violation.

The other three companies are under investigation in Florida are Flying J, Dodge's Gas Stores and Valero.

Tennessee Gov. Phil Bredesen has also addressed the issue of price-gouging, saying he will work with the state attorney general's office to aggressively pursue anyone who violates the law.

Price gouging is illegal in Tennessee. If you want to report a possible violation, contact the Tennessee Division of Consumer Affairs at (615) 741-4737 or file a report online.