FTC, Tennessee, 19 other states sue Dollar General, claiming customers overcharged

(NewsNation) — The Federal Trade Commission and 20 states have sued Dollar General, alleging the discount retailer cost consumers millions of dollars through deceptive pricing practices over several years.

The complaint specifically alleges Dollar General charged customers more at the register than the prices listed on shelves, price tags and in advertisements, the FTC said in a Monday release.

The release added that Dollar General knew about the problem and failed to correct it. The states joining the FTC in the lawsuit include Alabama, Arizona, Arkansas, California, Connecticut, Florida, Illinois, Iowa, Kansas, Louisiana, Michigan, Mississippi, Nebraska, New Jersey, North Carolina, Ohio, Oklahoma, Tennessee, Utah and Wisconsin.

“Dollar General has betrayed the trust of millions of American consumers and imposed significant financial harm on communities and consumers who are already struggling to make their paychecks last,” Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, said in a statement.

“The FTC’s action underscores the agency’s commitment to lowering costs for consumers by stopping deceptive pricing practices that harm Americans,” Mufarrige added.

Amid high inflation and rising gas prices, CEO Todd Vasos announced during a June earnings call that the company would offer 2,000 items for $1 or less.