Regulator investigating possible Sears Canada liquidation sale prices markups

Liquidations sales began in October

The Competition Bureau is investigating allegations that prices on some merchandise were marked up ahead of the liquidation sales at Sears Canada that began last month, the court-appointed monitor overseeing the retailer says.

The monitor’s seventh report to Ontario Superior Court says the federal competition watchdog sent letters on Nov. 8 to the liquidators inquiring about the allegations that certain merchandise was marked up.

READ: Sears Canada to liquidate remaining stores

A Competition Bureau spokeswoman said Thursday that the agency can’t comment or confirm any ongoing investigation.

But under federal law, she wrote in an email, consumers should not be misled by references to inflated regular prices and ”doesn’t make any distinctions between retailers and liquidators or the nature of the promotional event.”

For example, Amazon.com.ca Inc. agreed in January to pay a $1 million penalty and $100,000 towards costs after the bureau determined the online retailer hadn’t verified the accuracy of “list price” information provided by its suppliers.

The bureau also works to achieve “voluntary” compliance with the act “through various types of communication to businesses or individuals in specific matters before, during and/or following an investigation.”

A spokesman for Sears Canada told The Canadian Press that the company didn’t have a comment about a CBC News report on Thursday that said it had spoken with a Sears Canada employee who said he was ordered to mark up prices shortly after liquidation sales began on Oct. 19.

VIDEO: Sears liquidation sales continue across B.C.

A call and emails to one of the Sears Canada liquidators were not answered Thursday.

Sears Canada has been under court protection since June and began the process of liquidating its remaining stores in October after failing to find a buyer.

After the sales began, several customers posted pictures to social media suggesting prices had been raised.

The joint-venture group running the liquidation includes Hilco Global, Gordon Brothers, Tiger Capital Group and Great American Group.


Like us on Facebook and follow us on Twitter.

Just Posted

WATCH: Paralyzed ex motocross champion is returning to Chilliwack for book launch

Brent Worrall says he is living proof that no one should ever give up hope

Rainbow crosswalk count will rise to 16 in Chilliwack

So far 11 rainbows are painted and five planned, all since council denied the first proposal in September

Chilliwack’s Atchelitz Threshermen’s Association hosts open house to raise funds for new roofs, lighting

The association is inviting the public to check out some of Chilliwack’s farming history this weekend

Inspections find 10 out of 14 residential care facilities in Chilliwack with violations

Fraser Health regularly posts inspection reports for care homes and child care centres

Cleanup of homeless encampments near Sweltzer Creek almost complete on Chilliwack River

Next step for stewards and FVRD is conducting an inventory any other camps on the river

VIDEO: Canadian allergists’ group wants Benadryl behind the counter due to side effects

Some doctors say the medication is over-used because of its easy availability

Yelling at your dog might hurt its long-term mental health: study

Researchers find dogs trained using negative reinforcement are more ‘pessimistic’

Vancouver Island soap company releases Lucky Lager beer soap

Beer-infused olive oil soap comes out just in time for holiday shopping

Jagmeet Singh says he’ll vote against throne speech if NDP requests not met

Singh is to meet with Prime Minister Justin Trudeau on Thursday

Workers’ camp at LNG facility in Kitimat takes shape

Extensive worker camp now being assembled

Former B.C. youth pastor guilty on one of five sexual assault allegations

Judge cites reasonable doubt in finding Cloverdale couple not guilty of majority of charges

238 and counting: Vancouver gelato shop sets Guinness World record for most flavours

Vince Misceo has come up with 588 different flavours over the decades

Killer who fled to Taiwan day after shooting B.C. man over $80 sentenced 13 years later

The sentence comes 13 years after Shaoxin Zhang, 19, was killed in a Burnaby parking lot

Most Read