Texas Attorney General’s office is turning to social media to go after businesses that have hiked their prices during Hurricane Harvey.
“If you see it happening, take a photograph. Use your cell phone. That’s one of the things of this storm that’s different, is the social media effect and the information we get,” Deputy Attorney General Jim Davis told KXAN.
Best Western Hotels and Resorts has promised the Texas attorney general’s office it will refund customers who were overcharged after a local television station uncovered that 40 of its properties were charging customers almost triple its typical nightly rate. Other’s shared similar experiences on social media.
“We later learned from our efforts that 40 people had been refunded — nearly immediately. We’re going to validate that and check for the rest of the story,” Davis said.
In a follow-up statement, the Best Western chain apologized.
“Best Western was founded on the principles of honesty, integrity, compassion, and service,” said Courtney McCurry, manager for public relations at Best Western. “We are deeply offended and saddened by the actions taken by this hotel. As a result, we are immediately severing any affiliation with the hotel. This hotel’s actions are contrary to the values of Best Western. We do not tolerate this type of egregious and unethical behavior.
“Our thoughts and prayers are with the individuals, families, and communities impacted by Hurricane Harvey,” McCurry added.
The attorney general’s office is urging those who believe they have been the victim of price gouging to notify the agencies online complaint unit.
Texas Republican Attorney General Ken Paxton warned businesses engaging in price gouging in the aftermath of Hurricane Harvey that those caught could face stiff penalties.
Paxton said his office has already received over 600 complaints of price gouging as Harvey hit Texas over the weekend. He said his office has received reports of stores charging $99 for cases of water, and gas stations charging close to $10 a gallon for fuel.
One Houston resident sent me a pic of water he saw being sold for *$42* at a nearby Best Buy. They were kind enough to offer $29 bottles too pic.twitter.com/8dKz3sJJM1
— Ken Klippenstein (@kenklippenstein) August 29, 2017
Paxton said any business inflating their prices, especially for elderly customers, could be hit with hefty fines.
“These are things you can’t do in Texas,” Paxton told CNBC. “There are significant penalties if you price gouge in a crisis like this.”
Fines could reach as high as $250,000 if the victim is 65 or older, and businesses can also be hit with $20,000 fine for each case of price gouging.