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The City is filing a case against Burns Pharmacy in Forest Hills for 24 violations of price gouging hand sanitizer and face masks.
By Forum Staff
The City has filed three additional cases against repeat price gougers for knowingly increasing prices in violation of the Department of Consumer and Worker Protection’s regulations under the City’s Consumer Protection Law, Mayor Bill de Blasio and DCWP Commissioner Lorelei Salas recently announced.
DCWP issued a total of 203 violations to three businesses—including one in Forest Hills—for selling face masks, hand sanitizer, cough medicine and other products “at drastically increased prices.” In one particularly egregious example, one business was charging a consumer $20 for one N95 face mask. The cases will be heard at the City’s Office of Administrative Trials and Hearings where DCWP is seeking a total of up to $101,500 in fines.
The City is filing cases against:
- Burns Pharmacy (68-04 Burns St., Forest Hills) for 24 violations of price gouging hand sanitizer and face masks. DCWP is seeking up to $12,000 in fines.
- Hong Kong Supermarket (157 Hester Street, Manhattan) for 139 violations of price gouging face masks, gloves, disinfect wipes and hand sanitizer. DCWP is seeking up to $69,500 in fines.
- Thomas Drugs (171 Columbus Avenue, Manhattan) for 40 violations of price gouging face masks, gloves and cough medicine. DCWP is seeking up to $20,000 in fines.
Businesses found to be overcharging consumers by 10 percent or more for any personal or household good or service that is needed to prevent or limit the spread of or treat COVID-19 will be issued a violation, de Blasio and Salas noted. Examples of covered products include disinfectants, soap, cleaning products, diagnostic products and services, and medicines.
On March 5, Salas declared face masks in short supply and that declaration was extended with the addition of hand sanitizer and disinfectant wipes on March 10. The declarations were made under the Rules of the City of New York, which allows the commissioner to declare certain items temporarily in short supply for 30 days during extraordinary circumstances. On March 16, the agency promulgated an emergency rule under the City’s Consumer Protection Law that makes price gouging illegal for any personal or household good or service that is needed to prevent or limit the spread of or treat COVID-19. The rule makes it illegal to increase prices by 10 percent or more for a 60-day period. The rule can be extended once for an additional 60 days. The rule covers any personal or household good or service—such as disinfectants, soap, and cleaning products, diagnostic products and services, medicines, and tissues—that is needed to prevent or limit the spread of or treat COVID-19. The fine for price gouging is up to $500 per item or service. If businesses are paying more to obtain these items themselves, they must provide proof to DCWP and any increase must be comparable. If a business paid $2 more per item, they cannot charge customers $50 more.
The department is encouraging consumers who are overcharged to file a complaint at nyc.gov/dcwp or by contacting 311 and saying “overcharge.” Consumers who believe they were victimized by price gouging should keep their receipts and any information about the store where the transaction occurred, and file a complaint with DCWP.
