Federal Hurricane Response Expands to Antitrust, Fraud Prevention

Posted by Government Executive

Federal Hurricane Response Expands to Antitrust, Fraud Prevention

By Charles S. Clark

The Justice Department and the Federal Trade Commission on Tuesday released guidance to help businesses investing in helping rebuild southern communities ravaged by hurricanes Harvey and Irma.

But the guidance also contains warnings against anti-competitive agreements that “take advantage” of victims or those engaged in relief efforts. “The Department of Justice will criminally prosecute companies that fix prices, rig bids or allocate customers, and the Federal Trade Commission will investigate and take action against companies and individuals who violate the consumer protection laws,” Justice said in a statement.

In such emergencies, “The antitrust laws accommodate procompetitive collaborations among competitors,” the agencies said.

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