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June 2011 Issue Highlights

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Photo Highlights

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343-054
Automotive Aftermarket Industry Alternative Fuels Session

347-060
Society of Independent Fuel Marketers of America Spring Meeting

348-045
Central Valley Petroleum Industry Golf Charity Invitational

349-043
Alliance Petroleum Annual Meeting

350-008
Fuel Relief Fund Golf Tournament

Want to see the photos that didn't make the issue? Check out the Cutting Room Floor.

Nella Oil Acquires Devco Oil
Three Charged With Skimming Thefts on Oahu
Mesa Mandates More C-Store Security
Utah Considers C-Store Beer Ban

NELLA OIL ACQUIRES DEVCO OIL

AUBURN, CA. — Nella Oil, based here, has acquired Devco Oil of Santa Cruz, CA., as of April 1. The price of the transaction was undisclosed.

Included in the transaction were all of Devco's assets, including its bulk plant, loading rack, CFN cardlock, and warehouse. The company marketed gasoline, diesel, lubricants, marine and aviation fuel, kerosene, propane, and benzene.

The majority of the staff will join the Nella jobbership.

The former owners of the company wrote that they decided to sell the plant and retire because of "oil volatility and rising costs." Devco had been in operation as an independent jobber for over 80 years.

THREE CHARGED WITH SKIMMING THEFTS ON OAHU

HONOLULU, HI. — Three California men have been indicted by an Oahu grand jury for credit card skimming at gasoline stations in Hawaii.

According to court documents, Akop Tadevosovich Changryan, Karapet Kalantryan and Araik Davityan flew to Hawaii, opened the front panels on gasoline dispensers at Aloha Petroleum service stations, and installed skimming devices to capture data from credit and debit card swipes, including account numbers and PINs. Police said the skimmers were installed late at night while part of the team was distracting service station attendants.

The thieves returned to the stations two weeks later to collect the devices then returned home and allegedly used the information collected to steal $170,000 from six financial institutions in Hawaii.

Prosecutors say the money was stolen from 194 different customers from the Hawaii service stations.

Changryan had been arrested in January for a similar crime in Laguna Beach, CA, where he allegedly used a skimming device at the Shell Station at 1342 N. Coast Highway to collect credit card information and then purchased items in California, New Mexico, and Arizona. He was already on probation for felony "use of account information without consent."

The new charges, now levied at the trio, include identity theft, conspiracy, and fraudulent use of a credit card.

Bail was set at $250,000 for each defendant by the Hawaii Court.

MESA MANDATES MORE C-STORE SECURITY

MESA, AZ. — A tough new law, aimed at increasing security in convenience stores, has been passed by the Mesa City Council.

The new regulations have been developed over the past two years in response to police complaints that some c-stores cause "far more than their share" of emergency calls and criminal acts.

Under the new regulations, convenience stores would have to install a wide variety of security measures including alarm systems, security camera, outdoor lighting, and height marketers to help identify suspects. Beer coolers must be locked from 2:00 a.m. to 6:00 a.m.

Stores that demonstrate hardship — as some of the outdoor lighting and security camera requirements can be quite costly — would be able to petition the police to opt out of some requirements. However, the police department would be able to mandate additional security equipment or personnel — beyond the new regulations — for a specific c-store if they still had "numerous calls for service."

The new law is noteworthy in that it was not endorsed by either the police department or the Mayor of Mesa. They had favored a regulation that was developed in discussions between c-store owners and representatives and the police that would call for increased security equipment in high crime areas and a phase-in of security equipment in areas where there were few or no calls for police assistance.

"We have always used deference in this council to stakeholder input," said Mesa Mayor Scott Smith. "I'm reluctant to go against an agreement that the Police Department and the stakeholders now agree to that says this solves the problem."

The City Council, however, overruled the Police Department and the Mayor and passed the more stringent regulation.

Dennis Kavanaugh, who chairman of the City Council's Public Safety Committee, argued that the new regulation "offers the best opportunity for a safe environment for the public, the people who work in the stores and for officers who respond to those stores."

UTAH CONSIDERS C-STORE BEER BAN

SALT LAKE CITY, UT. — Utah Liquor Commissioner Gordon Strachan has asked the state to consider banning the sale of beer at service stations. Convenience stores and supermarkets are currently allowed to sell 3.2 beer in the state.

"Heavy beer," wine, and liquor are sold through state-run liquor stores in Utah and are not allowed to be sold in c-stores.

According to local reports, Strachan brought up the topic during a meeting of the state Alcoholic Beverage Control Commission during a debate on privatizing liquor sales in the state. The Utah ABC is currently considering closing state-run liquor stores as a way to cut costs and a bill has been introduced to privatize liquor sales.

Strachan argued that no matter how the liquor store debate goes, service stations and their c-stores should not be able to sell alcohol; he viewed the c-store ban as a way to cut down on drinking and driving.

Responding to Strachan's proposal, Dave Davis, president of the Utah Food Industry Association, said it would be "a bad idea in a state that already has established a reputation for quirky alcohol laws." He noted, "We haven't seen any empirical data that link sales at convenience stores to increased drunk driving rates. Banning beer sales at convenience stores would just be another feather in that cap of quirky laws."

Member of the Utah Legislature said the were open to discussing the issue. "I would want to know whether there's a connection [between sales in convenience stores and drunk driving]," State Senator John Valentine told reporters at The Salt Lake Tribune. "It is also my policy to meet with people who would be affected by the legislation."


Originally published in the June 2011 issue of O&A Marketing News.
Copyright 2011 by KAL Publications Inc.

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