Administration moves to ease gas concerns

By H. Josef Hebert
Associated Press

WASHINGTON — The Bush administration signaled yesterday it would not tolerate price gouging or industry collusion to run up gasoline prices and urged anyone with evidence to contact the Justice Department.

Separately, Energy Secretary Spencer Abraham met with the leaders of two principal petroleum trade groups and urged that refinery operators put off unnecessary maintenance and produce as much gasoline as possible going into the summer.

He said the leaders told him the industry "was committed to operating at full bore" to produce as much fuel as possible. While gasoline inventories increased last week, they remain significantly below the five-year average for this time of year, according to the Energy Department.

Meanwhile, the Justice Department sent a letter to each state attorney general urging them to contact the antitrust division if they have evidence of criminal conduct in the marketing of motor fuels.

Assistant Attorney General R. Hewitt Pate, head of the division, said the Justice Department was "committed to investigating and prosecuting criminal antitrust activity" if found in petroleum and motor fuel marketing.

Any citizen who has such complaints also was urged to e-mail (newcase.atrusdoj.gov) or telephone the antitrust division at (888) 647-3258.

Pate cited such illegal activities as bid rigging, price fixing and market allocation agreements to boost profits. The Federal Trade Commission, which has jurisdiction over civil violations in fuel marketing, also is monitoring daily gasoline prices, he said. However, neither Pate nor Abraham suggested they had any evidence of illegal activities or price gouging.