News Summary
A Beverly Hills realtor faces charges for price gouging after unlawfully increasing rental prices by 30% in violation of California’s emergency order during wildfires. Attorney General Rob Bonta filed charges, marking the fourth individual charged since the declaration. The increases occurred shortly after the January wildfires, affecting families displaced from their homes. The realtor, Iman Eshaghyan, could face significant penalties as authorities encourage victims of price gouging to report incidents.
Beverly Hills – A Beverly Hills realtor has been charged with price gouging following an emergency order to protect renters after wildfires ravaged parts of California earlier this year. California Attorney General Rob Bonta officially filed charges against Iman Eshaghyan on June 17, accusing her of unlawfully elevating rental prices at two properties by 30%, a direct violation of state law.
The allegations stem from rental increases that occurred shortly after the January Palisades wildfires, specifically on January 28 and January 31. Under California law, the emergency order enacted on January 7 prohibits any rental price increases exceeding 10% for the duration of the state of emergency. Eshaghyan is facing two misdemeanor counts of price gouging, with a potential maximum penalty of $10,000 and up to 12 months in jail for each charge.
The specific addresses of the properties involved in the case remain redacted in the criminal complaint. However, it has been confirmed that both properties were leased to families who had evacuated as a result of the wildfires. This incident marks Eshaghyan as the fourth individual to be charged for price gouging since the emergency declaration was put in place following the fires.
According to California Penal Code section 396, price gouging laws apply not only to rental housing but also to essential goods and services such as food, medical supplies, and hotel accommodations, thereby ensuring that the public is protected during times of crisis. Bonta emphasized the seriousness of the issue, stating that profiting from the suffering of Californians through price gouging is illegal and unacceptable.
Eshaghyan’s arraignment is scheduled for July 28, when she will have the opportunity to respond to the charges. In light of these events, Bonta has encouraged tenants who suspect they are victims of price gouging to report their concerns to local authorities or directly to the California Attorney General’s Office.
In a move aimed at further safeguarding affected residents, the Los Angeles County Board of Supervisors extended housing price gouging protections through July 31. This extension prohibits evictions and rent increases for those displaced by the wildfires, aiming to reduce the financial burden on families who have already faced considerable hardship.
Despite legislative efforts, critics have voiced concerns regarding the government’s effectiveness in addressing the price gouging issue, citing an overwhelming number of complaints from residents. The California Department of Justice has already sent over 750 warning letters to those accused of price gouging and is actively investigating various related fraud cases and scams in the aftermath of the wildfires.
Earlier in the year, Bonta similarly charged three other real estate agents for engaging in price gouging practices as the state worked to combat these unlawful actions. As the community continues to recover from the devastating impact of the wildfires, the enforcement of price gouging laws remains a critical concern for state officials and affected residents alike.
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Additional Resources
- LAist
- Wikipedia: Price Gouging
- Hoodline
- Google Search: Beverly Hills price gouging
- Los Angeles Times
- Google Scholar: Price Gouging
- Reuters
- Encyclopedia Britannica: Price Gouging
- MSN News
- Google News: California fires price gouging
