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Fighting with price increases and fines in China during the coronavirus epidemic - where to apply

Recently, the Chinese media have been reporting cases of price gouging during the coronavirus epidemic, such as in Shanghai recently, the staff of the District Market Supervision Bureau discovered during their daily inspections that some merchants were selling vegetable packages, weighing a total of 5 kilograms, online priced at 280 yuan per serving through the video platform.

 

After a preliminary check, it was found that the difference in price between the purchase and sale of the vegetables they sold did not comply with the "Regulation on Illegal Price Gouging in Epidemic Prevention and Control." Sellers of goods at inflated prices are suspected of violating the provisions of Article 14(3) of the Price Law of the People's Republic of China.

 

Sellers of all goods in China must consciously and strictly abide by the "Pricing Law of the People's Republic of China", "Price Fraud Prohibition Regulations" and other pricing laws and regulations.

 

It is reported that if the organizers and relevant operators of "community group purchasing" commit relevant illegal acts, after they are discovered, the district Market Supervision Department will conduct a serious investigation and determine the punishment, and will apply the following administrative penalties in accordance with the law:

 

1. Those who violate the clearly marked pricing rules will be ordered by the market supervision department to correct, illegal profits will be confiscated, and a fine of up to 5,000 yuan may be imposed.

 

2. Those who fabricate or spread information about price increases, inflate prices, and push the prices of goods to rise too fast or too high, the Market Supervision Department will order correction, confiscate illegal profits, and impose a fine of up to 50,000 yuan but less than 500,000 yuan, and in more serious circumstances, a fine of 500,000 yuan to 3 million yuan will be imposed; if the circumstances are serious, business suspension will be ordered for rectification, or the market supervision department will revoke the business license.

 

3. Those who use false or misleading pricing methods to lure consumers or other operators into trading with them, the market supervision department will order the correction, confiscation of illegal profits, and a fine of 5 times the amount of illegal profits.

 

The District Market Surveillance Department stated that once consumers discover that a trader has raised prices and engaged in other illegal activities in the group purchasing process, they can report it to the Market Surveillance Department by calling 12315 or 12345

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