Gas station owner told to raise prices

[imfree]

Note to mods: I'm not sure if this is the right forum.

Gas station owner told to raise prices

Wed May 9, 6:05 AM ET

MERRILL, Wis. - A service station that offered discounted gas to senior citizens and people supporting youth sports has been ordered by the state to raise its prices.
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Center City BP owner Raj Bhandari has been offering senior citizens a 2 cent per gallon price break and discount cards that let sports boosters pay 3 cents less per gallon.

http://news.yahoo.com/s/ap/20070509/ap_on_fe_st/odd_cheap_gas_7

[toadblossom]

I don't know anything about regulations for this type of business... but how can the state but in and tell a business owner how much he can or can't charge?

[babylonrising]

Any discount offered from a non-service type industry would have to be filed with the state.
We run into this question all the time in insurance. John Doe will call to complain the insurance company down the street offers a discount, like one for a child that is on the honor roll, we do not. That is because they have filed with the state to do so. We can't match the discount because it would be illegal since we are not on file with the state as offering it.
The next logical question is why doesn't the company "just" file. It's not that easy. It takes time, usually an attorney, and money to do so.

[WarGamer]

Not much of a free-market is it? I never really believed the US was as free as it should be. And yes, I've been in rat-hole 3rd world countries. We are becoming a nanny-state.

[SummerSailing81]

Heaven forbid the state and oil execs don't get every penny their greedy hands can get! :mad:

[cryo]

I heard a gas station owner who was fined for offering discounts (maybe the same guy?) interviewed on the radio, and I believe he says he is required to mark up the gas 9% over cost.