California officials are cracking down on price gouging as displaced residents struggle to find shelter and essential goods during the devastating Los Angeles wildfires.
The wildfires, which have consumed thousands of acres and displaced countless Californians, prompted a state of emergency, triggering laws to protect residents from predatory practices.
Price gouging—illegal under California law during emergencies—has emerged as a critical issue, particularly in the rental and hotel markets, as landlords and businesses exploit the heightened demand, CBS News reported.
Attorney General Rob Bonta has issued stern warnings against price gouging and scams, emphasizing that raising prices by more than 10% for goods, services, and housing is a crime punishable by fines and jail time.
"We've seen businesses and landlords ... jack up the price," Bonta said. "It's called price gouging. It is illegal. You cannot do it. It is a crime punishable by up to a year in jail and fines."
State officials have reported instances of landlords and hotels using demand-driven algorithms to hike prices, alongside fraudulent schemes such as fake relief organizations and unlicensed contractors preying on vulnerable populations.
"This is California law [and] it's in place to protect those suffering from a tragedy," Bonta said.
Authorities are urging the public to report price gouging, scams and looting, which has also been an issue in evacuated areas.
Efforts are underway to enforce anti-gouging laws. City officials have also implemented curfews and arrested looters.
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