FOR RELEASE: JULY 15, 1992
FTC CHARGES F.A. STEIN OIL COMPANY WITH VIOLATING OCTANE RULE; CONSENT DECREE WOULD SETTLE CHARGES
An Illinois oil distributor has been charged by the Federal Trade Commission with violating the FTC's Octane Rule by, among other things, failing to certify the octane rating of gasoline it sold to service stations and other distributors. Under a proposed consent decree to settle the charges, Frederick A. Stein, sole owner of the F.A. Stein Oil Company, of Belleville, Illinois, would pay a civil penalty of $10,000 and would be prohibited from any future violations of the Octane Rule. Under the FTC's 1979 Octane Rule, gasoline refiners and importers determine the octane rating. Each subsequent link in the marketing chain -- wholesalers, distributors and retailers -- must certify the octane rating to the next recipient. Retailers do so by posting the yellow octane rating sticker on each pump.
According to the FTC's complaint, in numerous instances, the defendant sold gasoline to service stations without providing a written certification to the station. The FTC also alleged that Stein failed to retain the delivery ticket or a written certifi- cation, as required by the rule.
The $10,000 penalty required under the proposed consent decree would be due on the date the judge accepts the settlement.
The complaint was filed on behalf of the FTC by the Department of Justice in the U.S. District Court for the Southern District of Illinois in East St. Louis on July 10. The proposed consent decree was filed on July 14. They are subject to court approval.
- more -
NOTE: This consent decree is for settlement purposes only and does not constitute an admission by the company that it violated the law. Consent decrees have the force of law when signed by the judge.
The FTC has issued a bulletin, "Octane Ratings" which explains how consumers can choose the best gasoline for their automobiles.
Copies of the complaint, consent decree and consumer fact sheet are available from the FTC Public Reference Branch, Room 130, 6th Street and Pennsylvania Avenue, N.W., Washington, D.C. 20580; 202-326-2222; TTY 202-326-2502.
# # #
MEDIA CONTACT: Don Elder, Office of Public Affairs 202-326-2181
STAFF CONTACT: Jeffrey Feinstein, Bureau of Consumer Protection 202-326-2372
(Civil No. 92-CV-532-WDS)
(FTC file No. 912-3322)