Discount retailers Dollar General corp.
Dollar Tree Inc.
and Family Dollar will pay a total of $1.2 million in fines and damages for selling expired and obsolete products, according to an announcement from the New York Attorney General. Family Dollar is part of the Dollar Tree portfolio. The settlement comes as the result of a months-long undercover investigation that found Dollar General sold obsolete motor oil, some of which wasn’t suitable for engines built after 1930; Dollar Tree and Family Dollar violated the state’s bottle deposit law; and all of the discount retailers sold expired over-the-counter drugs. In addition to the financial settlement, the retailers are required to make reforms to their procedures. Dollar General agreed to stop selling obsolete motor oil and to pay $1.1 million in restitution, damages and penalties. Customers who bought the old motor oil can file a complaint online. Dollar Tree and Family Dollar will pay $100,000 in penalties and costs to the state for violating the bottle deposit law. Dollar Tree declined to comment further on the matter. MarketWatch has also reached out to Dollar General for comment. Dollar General stock has gained 28.2% for the year to date, Dollar Tree is up 5.7% for the period, and the S&P 500 index
has gained 14.2% for the period.
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