Federal probe launched into baby formula crisis
The Federal Trade Commission introduced Tuesday it’s initiating an investigation into the baby formula scarcity dealing with American households.
The unbiased company tasked with implementing antitrust and shopper safety legal guidelines stated it’s searching for details about whether or not any “deceptive, fraudulent or otherwise unfair business practices aimed at taking advantage of families” had occurred. The FTC stated it hopes to make clear the causes of the provision chain catastrophe, which has piled on to President Biden’s woes.
“The FTC is launching a public inquiry to identify the factors that contributed to the shortage or hampered our ability to respond to it,” Chair Lina M. Khan stated in a press release. “Learning from this experience can help determine how we can minimize the risk of similar shortages in the markets for other life-sustaining products.”
The FTC is searching for public feedback via June 24 from households about their experiences, together with conditions that will have concerned “fraud, deception, or scams when attempting to purchase infant formula,” buying from on-line resellers at “exorbitant prices” or witnessing retailers “stock-piling” formula for personal or resale use.
The formula crisis emerged after a serious provider, Abbott Nutrition, shuttered a facility earlier this year on account of insufficient situations.
Over the weekend, the Biden administration started flying in formula from overseas in an effort to handle the home provide scarcity. The president has additionally invoked the wartime Defense Production Act to hurry up manufacturing.