FG reopens Sahad Stores sealed for ‘hoarding, misleading pricing’

The Federal Competition and Consumer Protection Commission has reopened Sahad Stores, a renowned Abuja supermarket, following its interim closure.

The commission sealed the businesses on Friday, February 16, due to a lack of openness in how it set product prices.

The commission noted that the store advertises reduced pricing on the shelves but charges higher rates at the checkout.

It stated that the behavior had left customers with no choice but to pay for things at increased rates, which the FCCPC described as “violations involving misleading pricing and a lack of transparency.”

In a statement released by the commission’s acting Executive Vice Chairman, Adamu Abdullahi, on Saturday, Abdullahi stated that the Sahad Stores had resumed operations.

The statement read, “On February 16, 2024, FCCPC operatives visited Sahad Stores and confirmed through random checks that the deceptive practice did not only continue, but cashiers also charged prices at their discretion, leaving unsuspecting customers vulnerable to unfair pricing.

“Exercising its authority under Section 18(f), the Commission temporarily sealed the premises.

“However, following a mutual understanding and commitment from Sahad Stores to implement transparent pricing practices, the FCCPC reopened the store on February 16, 2024, at about 7 p.m.”

The FCCPC urged businesses “to display transparent pricing information to empower consumers to make informed purchasing decisions, especially during challenging economic times,” while stating its commitment to “combating all forms of exploitative or misleading practices that undermine consumer rights.”

The FCCPA emphasized its role in protecting consumer rights and prohibiting deceptive business practices, adding that “Section 115 outlines potential penalties for violations, including fines for organizations and imprisonment for directors.

It urged all businesses to adhere to fair and transparent pricing practices to ensure consumer protection and a healthy market environment.

Speaking on the initial sealing of the store, the commission recalled that on January 8, 2024, it “investigated Sahad Stores following reports of misleading pricing practices.

“The investigation revealed that Sahad Stores displayed lower prices on shelves and charged higher prices at checkout, contravening Section 115 of the Federal Competition and Consumer Protection Act (FCCPA) 2018.

“The investigation included all Sahad Stores branches in Abuja to ensure a comprehensive understanding of the issue and implement corrective measures across the entire chain.”

The statement added that the commission “promptly issued a summons to specific Sahad Stores staff, asking them to appear on February 12, 2024, to discuss corrective measures,” noting that “the staff failed to appear without justification, raising concerns about potential violations under Section 33(3) of the FCCPA.”