California Attorney General Rob Bonta warned if people engage in price gauging, looting, and scamming amid the ongoing response to the wildfires ablaze in Los Angeles, they are breaking the law and they will be held accountable.
He warned victims of the fire at a press conference Saturday about bad actors who seek to use the trauma and the chaos created by the fires for their gain.
“We’ve seen businesses and landlords … jack up the price,” he said at a press conference Saturday. “It’s called price gouging. It is illegal. You cannot do it. It is a crime punishable by up to a year in jail and fines.”
Prices should only be going up 10% or less from before the fire, Bonta said.
“This is California law [and] it’s in place to protect those suffering from a tragedy,” he said.
The California Attorney General’s office issued a consumer alert about price gauging earlier in the week. Officials said they’ve seen price gauging, particularly in the rental market.
“If you know someone who’s been a victim of price gauging please report it,” Bonta said.
Bonta said he is working with Gov. Gavin Newsome on addressing price gauging specifically.
“Some of our hotels and some of our landlords use algorithms based on demand and supply to set their prices. If those prices lead to prices higher than before the emergency by 10% that’s against the law,” Bonta said. “If you’re a mom and pop and you’re not aware of these laws now you are aware. Ignorance is not an excuse.”
Bonta also addressed scams, including people who create fake organizations masquerading as legitimate aid providers, particularly those targeting the elderly and the immigrant population.
He specifically called out “The American Red Cross of California,” an organization that sounds legitimate but is not, he said.
Scams come in many forms, including by text, phone calls, emails, and social media, Bonta said and listed the scams to look out for below:
- Contractor scam where bad actors pressure victims to put down a deposit fee to hold their spot
- Insurance adjusters
- A government official or relief organization
- Fire Restoration
He gave the following ways to protect yourself:
- Verify credentials
- Check licenses
- Be skeptical of demands for upfront payment
- Confirm authenticity through official channels
- Monitor your bank accounts/ report fraud
During the press conference, Bonta also addressed reports of looting in evacuated homes and businesses.
“Looting is wrong. Looting is unlawful,” he said. “Don’t do it. It’s illegal. And it’s dangerous.”
Los Angeles city officials have implemented a curfew to curb attempts of looting. At least 20 people have been arrested, officials in California have said.
Anna Schecter is the senior coordinating producer for CBS News and Stations’ Crime and Public Safety Unit, based in New York.
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