A customer pumps gas at an Exxon gas station, Tuesday, May 10, 2022, in Miami. The national average for a gallon of regular gas has dropped every single day since soaring to a record high of $5.02 a gallon on June 14. on Wednesday announced a $50 million settlement over allegations that two gasoline trading firms secretly worked together and manipulated prices on the spot market for gasoline in Southern California in 2015.
The dispute dates back to a lawsuit filed in May 2020, when the state accused Vitol and SK of taking advantage of market conditions after an explosion at a refinery in Torrance knocked off about 10 percent of the state’s gasoline supply. The lawsuit claimed the companiesThe lawsuit accused Vitol and SK of trading small amounts of gasoline at high prices, with the intention of causing a spike in the prices of large volumes of gas sold in California’s fuel market.and $37.
The Attorney General’s Office said the inflated price of retail gas affected 10 counties in Southern California — including San Diego County — between Feb. 20 and Nov. 10, 2015. Under the settlement, customers who purchased gas during that period may file a claim to receive a portion of the $37.5 million paid by Vitol and SK.
The $12.5 million in civil penalties will go to a fund that supports the Unfair Competition Law, which includes paying the legal fees associated with bringing the case against Vitol and SK. The high cost of gasoline has long been a hot political topic in California, most recently after drivers saw the average price of a gallon of regular soar past $6 during spikesThe division’s director issued a statement after Wednesday’s settlement was announced.