Katrina: Protecting Victims from Price Gouging and Bankruptcy

[paineinthearse]

by email



Dear Friend:

The devastation along the Gulf Coast caused by Katrina and the ripple effects throughout the entire nation are tragic beyond description. What we are witnessing in Louisiana and Mississippi is the truism that when disaster strikes, the gap between rich and poor becomes a chasm.

In today's lagging economy, far too many hardworking Americans are living paycheck to paycheck, just barely getting by. In that tenuous financial condition, many families are only one tragedy away from being devastated by debt. Many of the families who have now lost their homes, livelihoods, and personal possessions will soon be contacted by credit collection agencies demanding the next minimum payment on a credit card. Other families are being struck by outrageous price gouging that has no place in our society. Because of my concerns regarding the financial hardship of the Hurricane, I am taking several actions.

First, I have asked the Federal Trade Commission to study price gouging in the gasoline market. While nothing the rest of us are experiencing can compare to the suffering of those directly impacted by Katrina, I am also deeply concerned that corporate interests may be taking advantage of this tragedy and price gouging consumers when they fill up their gas tanks. Already, there are reports of gas prices over $4 a gallon and prices rising as much as 88 cents in one day.

Letter to the FTC:
http://johnconyers.com/index.asp?Type=B_BASIC&SEC
={59A3A4B0-C1D6-4176-851D-29E87678F3C2}

Second, as Ranking Member of the Judiciary Committee, I plan to introduce legislation explicitly giving the federal government authority to pursue such price gouging actions -- price gouging is a national problem, and it warrants a national response.

Third, I am introducing a law to amend the Bankruptcy Code so that the most onerous provisions of the new law, scheduled to take effect October 17, do not inflict damage on the millions of victims of Hurricane Katrina and their families.

Bankruptcy Coverage:
http://rawstory.com/news/2005/Conyers_readies_
gas_price_gouging_hurricane_bankruptc_0902.html

Finally, I believe the federal government can and must do more to alleviate the hardship caused by Hurricane Katrina.

Astonishingly, FEMA deputy director, Patrick Rhode, described federal relief efforts as "probably one the most efficient and effective responses in the country's history." Anyone who has watched the news coverage would be hard-pressed to agree. Trying to coordinate support activities, the director of Homeland Security in New Orleans, Col. Terry Ebbert, has been distraught by the lack of federal assistance, noting, "it's criminal within the confines of the United States that within one hour of the hurricane they weren't force-feeding us. It's like FEMA has never been to a hurricane." Our nation can and must do better.

Sincerely,

John Conyers, Jr.

http://johnconyers.com/index.asp?Type=B_BASIC&SEC={59A3A4B0-C1D6-4176-851D-29E87678F3C2}

9/1 - Letter to the FTC on Price Gauging
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September 1, 2005


The Honorable Deborah Platt Majoras
Federal Trade Commission
600 Pennsylvania Avenue, NW
Washington, DC 20580

Dear Chairwoman Majoras:

We are writing as members of the House Judiciary Committee, which has jurisdiction over the antitrust laws, to ask that you commence an immediate investigation into reports of price gouging in gasoline markets across the nation.

There are numerous reports of massive increases in gasoline prices. For example, today's Washington Post reports price increases of as much as 88 cents per gallon in a single day. Some stations in Georgia are reported to be charging as much as $6 a gallon. In Illinois, prices are reported to have shot up 50 cents per gallon overnight, and the state attorney general received more than 500 reports of price gouging.

These increases go far beyond anything justified or relating to the market disruptions caused by Hurricane Katrina. As a result, we would ask the FTC to look into the various causes of the recent increases, identify the price gouging by opportunistic sellers and take any and all actions to end price gouging immediately.

You have examined similar issues for Congress in the past after other periods of price increases, and we find it essential that you complete an analysis for us today based on current market conditions.' As time is of the essence, we would like to receive a status report on any preliminary findings as promptly as possible, but no later than September 15, 2005.

Sincerely,

John Conyers, Jr.
Jerrold Nadler
Marty Meehan
Linda Sanchez
Anthony Weiner
Debbie Wasserman-Schultz
Sheila Jackson Lee
Robert Wexler
Rick Boucher
Chris Van Hollen
Zoe Lofgren
Howard Berman
William Delahunt

Thank you Rep. Conyers,and the several others, with a special thanks to two MassaBluesetts Reprentatives, William Delahunt and my own Marty Meehan!

See related post at http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=132x2058070

[fasttense]

1. You folks who have Conyers as a Rep., are just plain lucky.

Frist, I hate to say represents me in another part of Congress and guess what he's doing? Frist, sadly from Tennessee, is introducing legislation this week to give more tax breaks to the ultra rich. Yup, he's going to introduce the repeal of the inheritance tax this week so all those pitiful uber-rich Lords and Ladies can pass on their Billions of dollars to their uber-rich princes and princesses.

You know all those uber-rich who died in the Hurricane will really need this. Oh that's right not a single uber-rich died, they got out. But hey a tax break for the uber-rich is a burden for the middle-class. Frist is just going back to business and screwing America as usual.

[paineinthearse]

2. Who is running against your rethug rep?

Rally support through your state's DU forum

[Marnieworld]

3. kicking

Once again Conyers is all over a situation fighting for what's right. DOes the man ever sleep?

[izzybeans]

4. Doing the same.

:kick:

[Wordie]

5. Go Conyers! Also need legislation to make sure these people do not lose

their property for failure to pay property taxes while in the midst of an evacuation. (The houses, apparently, will have to go anyway...or at least that's what Koppel said.)

We must keep on top of this, even after the hubbub dies down, because that's precisely when the evacuees will have more horrors heaped upon them.