Firm Ordered to Pay $15,600 in Fines
A Northridge firm has been ordered to pay $15,600 in fines for erroneous advertisements that led customers to believe two of its auctions were conducted by the U.S. government, the Los Angeles County district attorney’s office announced this week.
Los Angeles Superior Court Commissioner Murray Gross ordered AV Auctioneers Inc. to pay $7,800 in fines, $5,300 in investigative costs and $2,500 in civil penalties for fliers sent April 30, 1994, and Sept. 8, 1995, that claimed the sales were conducted by the federal government.
For the record:
12:00 a.m. July 20, 1996 For the Record
Los Angeles Times Saturday July 20, 1996 Valley Edition Metro Part B Page 3 No Desk 1 inches; 32 words Type of Material: Correction
Fine--A story in Thursday’s Valley Edition misstated the amount of fines to be paid by a Northridge company for misleading advertisements. AV Auctioneers will pay $5,300 in investigative costs and $2,500 in civil penalties.
According to the handbills, the sales were intended to dispose of jewelry, rugs and artwork seized by U.S. Customs agents.
“They wanted to make it look like their customers would be getting a good deal,” said Deputy Dist. Atty. Dana Aratani, a member of the Consumer Protection Division. Under the Business and Professions Code, the ads were misleading and an unlawful business practice, she added.
