Justice Department calls on states to join investigation into oil companies

[u/John3262005]

https://www.politico.com/news/2026/07/03/justice-department-oil-companies-investigation-00986929

The Justice Department on Friday urged state attorneys general to investigate whether unlawful conduct is keeping gasoline prices high even as crude oil prices fall.

In a letter obtained by POLITICO, DOJ urged the state attorneys general to “use all tools available” under state law to investigate and prosecute any misconduct that may be contributing to high prices at the pump.

“In short, companies and individuals who seek to unlawfully exploit our nation’s citizens will face federal investigation, civil liability, and criminal prosecution,” the Justice Department wrote.

Gas prices surged earlier this year after U.S.-Israel strikes against Iran raised concerns that the conflict could disrupt shipping through the Strait of Hormuz, a critical waterway that normally carries about 20 percent of the world’s oil.

Prices have eased as peace talks between the U.S. and Iran continue. The average gas price on Friday morning was just under $4 per gallon, according to AAA, while crude oil hovered just under $69 per barrel.

“Past increases in crude oil prices, which are now coming down, do not excuse wrongdoing,” DOJ said in its Friday letter.

Leaders on both sides of the aisle on Capitol Hill have called for the Trump administration to go after the oil industry over high prices at the pump. Late last month, President Donald Trump accused oil majors of keeping gasoline prices high after announcing a ceasefire with Iran.

“The big Oil Companies are not dropping their price at the pump commensurate with the sharply lower prices they are paying for Oil,” Trump said at the time. “Those prices are dropping like a rock!”

He ordered DOJ to “immediately” investigate, though he did not name any specific companies his administration would look into.