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Carrefour apologizes for price gouging


08:21, December 17, 2012

TAIYUAN, Dec. 16 (Xinhua) -- A senior executive with Carrefour headquarters has apologized for price gouging in an outlet in north China's Shanxi Province and promised to strengthen management.

Dai Wei, vice president of Carrefour China, has agreed to accept punishment by the pricing bureau of Taiyuan, said Song Jianhu, an official with the bureau.

Dai was cited as saying that Carrefour would instantly conduct self-inspection and strengthen management at its two outlets in Taiyuan, the provincial capital.

Meanwhile, employees responsible for the price gouging will be "dealt with seriously" , Dai said.

According to Song, Carrefour will get a fine of 50,000 to 500,000 yuan (7,949 to 79,491 U.S. dollars).

Last week, a Taiyuan consumer noticed a discrepancy between the price displayed on the shelf and the price charged by the cashier at a Carrefour outlet, and reported it to local pricing authorities.

Inspectors from the municipal pricing bureau found that the outlet had charged consumers higher prices.

The outlet was also found to have used misleading advertising, failed to provide accurate information regarding sales and allowed goods to be produced in areas that were inconsistent with the company's specifications.

The Carrefour store has issued a written statement, explaining that the incident was "an individual case" and "an unintentional mistake."

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