Gas station cited for low cigarette prices

Published 12:00 am Saturday, December 23, 2006

VIDALIA &8212; A Vidalia gas station was recently cited and ticketed for selling cigarettes below the state mandated price.

Murphy USA, part of the Wal-Mart Supercenter, advertised cigarettes for prices &8220;well below the 6 percent mandatory markup,&8221; Brian DeJean, legal counsel for the Louisiana Office of Alcohol and Tobacco Control, said Wednesday.

DeJean said his agency conducted an inspection Nov. 29 after a complaint from a competitor.

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&8220;The mere fact they marked them under (the required price) makes it a violation,&8221; DeJean said. &8220;They don&8217;t have to sell any of them.&8221;

Retailers must sell cigarettes at 6 percent above the wholesale price to keep the market a level playing field, he said.

&8220;If store A is selling them at the correct price and store B is selling them below price, it&8217;s more incentive to bring people in to buy from you,&8221; DeJean said.

The store was selling special brands for $2.09 to $2.60 and cartons for as low as $17.49, DeJean said. He could not say what the mandatory price was at that time.

&8220;Since being contacted, they have resolved the problem,&8221; DeJean said.

Because the company has been cooperative, it will probably not have its license revoked, DeJean said, but another possible repercussion could be fines.

A hearing for the charges has been set for Jan. 24, DeJean said.

Murphy USA and Wal-Mart

opened early November.

Representatives from the corporate headquarters could not be contacted for comment Wednesday.

Wesley Steckler contributed to this article.