Statewide fair trading blitz reveals 206 stores ripping off QLDers
Posted by editor (editor) on Jul 22 2009
2009 >>

A series of state-wide operations by Office of Fair Trading inspectors has resulted in nearly 1,000 retail outlets and more than 25,000 items checked for correct pricing.

The checks were to ensure that the items scanned at the advertised price with the latest blitz being conducted during June.

Of the 994 stores inspected throughout Queensland 79% were fully compliant with no errors found. However, 206 stores or 21% had one or more overcharge.

Minister for Fair Trading Peter Lawlor said 186 stores were issued with warnings. In addition, 11 companies were prosecuted in 2008-09 for price scanning breaches with fines ranging from $750 to $7500.

“Consumers need to feel confident that the price they see advertised for an item is the price they will be charged,” Mr Lawlor said.

“During these compliance programs OFT inspectors randomly visit stores throughout the year to ensure the scanning process is fair to the consumer,” he said.

“Officers checked the scanning price of 25,423 items to ensure they were scanned at the advertised price.

“Whilst they found 289 items scanned at a price less than the advertised price 1.4% or 367 scanned at a price higher than their advertised price.

Mr Lawlor said the results for 2008-09 were encouraging after a high level of non compliance was encountered in 2007-08.

Checks last financial year revealed an overcharge rate of 2.2% with 29% of stores having one or more overcharge.

“OFT’s increased its focus on price scanning in 2008-09 visiting an additional 300 stores and this seems to have paid dividends for consumers” Mr Lawlor said.

In addition to the compliance programs, OFT hosted a price scanning forum in May this year for managers and compliance officers from major retail outlets, retailers associations and consumer associations.

“OFT understands the efforts retailers have to make to get their scanning systems right but has highlighted to stores they have a responsibility to ensure they meet price scanning regulations,” Mr Lawlor said.

“If they don’t, they risk being caught out by ongoing OFT compliance checks,” he said.

Mr Lawlor encouraged consumers to check their dockets.

“ Most stores do not intentionally set out to rip customers off, but often simply forget to remove tags from their shelves after items come off a short term promotional or special price” he said.

“If you note the price you paid is different to the advertised price, raise it with the store manager. Many retailers participate in the Scanning Code of Practice and the store may provide the item free of charge if they have got it wrong.

“If the store is unwilling to adjust their price or provide a refund, report the matter to the Office of Fair Trading at www.fairtrading.qld.gov.au”

Businesses prosecuted to date:
Pantdeen Pty Ltd – Foodworks Russell Island
Shivalik Holdings Pty Ltd – Brisbane – Night Owl Taringa
The Whisper Group Pty Ltd – IGA Mt Warren Park
V&V Australia Pty Ltd –7 Eleven Brown Plains
St-George Pty Ltd – Cornetts Super IGA, St George
Repco Pty Limited - Underwood
Dale & Meyers Operations Pty Ltd –‘The Premises’ Hardware Store
Shree Salasar Balaji Pty Ltd – 7 Eleven Redbank Plains
Freedom Fuels Australia Pty Ltd (t/a Freedom Fuels Dalby)
Freedom Fuels Pty Ltd (t/a Freedom Fuels Varsity Lakes) Brisbane
Cairns Hardware Company Pty Ltd - Cairns

Last changed: Oct 06 2009 at 4:00 PM