Justice Department Urges State Probes Into Gasoline Price Practices

The Justice Department and the Federal Trade Commission sent a joint letter Friday directing state attorneys general to investigate possible gasoline price manipulation by oil companies. The three-page letter encourages states to use their own antitrust and consumer protection laws against firms suspected of collusion or withholding lower crude costs from consumers.

The agencies stated they are “closely monitoring petroleum markets” and will apply civil and criminal enforcement tools where violations are found. Associate Attorney General Stanley Woodward said the Antitrust Division will work with state partners to protect consumers from anticompetitive conduct that raises gas prices.

The letter also directs consumers to the DOJ Citizen Complaint Center and the FTC fraud portal and highlights the division’s whistleblower rewards program, which has already paid out its first $1 million award.

National average gasoline prices stand at about $3.82 per gallon, down roughly 44 cents from last month, according to AAA Fuel Prices. The letter references a June 24 social media post noting that crude oil prices had fallen sharply while pump prices had not moved in tandem.

Earlier this week the Justice Department filed suit against several large egg producers, alleging coordinated bidding and private trades that inflated wholesale egg prices. The complaint names Cal-Maine Foods, Hickman’s Egg Ranch, and Versova Holdings and seeks compliance programs plus limits on competitor communications.

“Affordable energy is essential to a thriving American economy.”