Business & Tech
Gas Station Penalized for Sandy Prices
BP station in Huntington was gouging, state attorney general says.
A Huntington gas station will pay $10,000 to settle accusations of price gouging in the wake of Hurricane Sandy.
The BP station at 464 West Jericho Tpke., Huntington was one of several stations that reached an agreement with state attorney general Eric T. Schneiderman.
Huntington Patch featured the station in a story Nov. 2 because of the long lines of cars and pedestrians waiting for fuel as fears about a shortage grew.
But its owner, Mirza Aliamad, told Newsday that he agreed to the settlement only to avoid much higher legal costs in court. He said his costs rose after the storm because he hired extra people to manage the lines of cars and people with gas cans. He also said his station served free coffee and sandwiches to neighborhood residents without power in their homes.
The attorney general's office listed these figures:
- Difference between wholesale price and retail price prior to storm: $0.87
- Difference between wholesale price and retail price immediately following storm: $1.20
- Increase in wholesale/retail spread before-and-after the storm: 48%
- Retail price immediately following the storm: $4.30
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