[Federal Register Volume 66, Number 49 (Tuesday, March 13, 2001)]
[Notices]
[Pages 14584-14585]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-6136]


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FEDERAL TRADE COMMISSION

[File No. 992 3192]


Enerjet Corporation; Analysis To Aid Public Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed consent agreement.

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SUMMARY: The consent agreement in this matter settles alleged 
violations of federal law prohibiting unfair or deceptive acts or 
practices or unfair methods of competition. The attached Analysis to 
Aid Public Comment describes both the allegations in the complaint that 
accompanies the consent agreement and the terms of the consent order--
embodied in the consent agreement--that would settle these allegations.

DATES: Comments must be received on or before April 6, 2001.

ADDRESSES: Comments should be directed to: FTC/Office of the Secretary, 
Room 159, 600 Pennsylvania Ave., NW., Washington, DC 20580.

FOR FURTHER INFORMATION CONTACT: John Rothchild, FTC/S-4302, 600 
Pennsylvania Ave., NW., Washington, DC 20580. (202) 326-3307.

SUPPLEMENTARY INFORMATION: Pursuant to section 6(f) of the Federal 
Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46 and section 2.34 of 
the Commission's Rules of Practice (16 CFR 2.34), notice is hereby 
given that the above-captioned consent agreement containing a consent 
order to cease and desist, having been filed with and accepted by the 
Commission, has been placed on the public record for a period of thirty 
(30) days. The following Analysis to Aid Public Comment describes the 
terms of the consent agreement, and the allegations in the complaint. 
An electronic copy of the full text of the consent agreement package 
can be obtained from the FTC Home Page (for March 7, 2001), on the 
World Wide Web, at http://www.ftc.gov/os/2001/03/index.htm. A paper 
copy can be obtained from the FTC Public Reference Room, Room H-130, 
600 Pennsylvania Avenue, NW., Washington, DC 20580, either in person or 
by calling (202) 326-3627.
    Public comment is invited. Comments should be directed to: FTC/
Office of the Secretary, Room 159, 600 Pennsylvania Ave., NW., 
Washington, DC 20580. Two paper copies of each comment should be filed, 
and should be accompanied, if possible, by a 3\1/2\ inch diskette 
containing an electronic copy of the comment. Such comments or views 
will be considered by the Commission and will be available for 
inspection and copying at its principal office in accordance with 
section 4.9(b)(6)(ii) of the Commission's Rules of Practice (16 CFR 
4.9(b)(6)(ii)).

Analysis of Proposed Consent Order To Aid Public Comment

    The Federal Trade Commission has accepted, subject to final 
approval, an agreement for entry of a consent order from Enerjet 
Corporation (``Enerjet''). The agreement would settle a complaint by 
the Federal Trade Commission that Enerjet violated (1) the Rule 
Concerning Disclosures Regarding Energy Consumption and Water Use of 
Certain Home Appliances and Other Products Under the Energy Policy and 
Conservation Act (``Appliance Labeling Rule'' or ``Rule''), 16 CFR part 
305, and (2) the Energy Policy and Conservation Act (``EPCA''), 42 
U.S.C. 6201 et seq.
    The proposed consent order has been placed on the public record for 
thirty (30) days for receipt of comments by interested persons. 
Comments received during this period will become part of the public 
record. After thirty (30) days, the Commission will again review the 
agreement and the comments received and will decide whether it should 
withdraw from the agreement or make final the agreement's proposed 
order.
    This matter concerns Enerjet's compliance with regulatory 
requirements relating to certain boilers that it manufactures. The 
administrative complaint alleges that Enerjet violated the Appliance 
Labeling Rule in several respects. First, the complaint alleges that 
Enerjet knowingly distributed certain oil-fired boilers that were not 
marked with labels displaying the information that the Rule requires. 
In particular, the complaint alleges, the labels Enerjet used did not 
display the name of the manufacturer, the annual fuel utilization 
efficiency rating of the boiler, the range of annual fuel utilization 
efficiency ratings for comparable products, an indication of where the 
labeled product falls within this range, and certain prescribed generic 
statements. Second, the complaint alleges that during 1997 Enerjet 
knowingly distributed boilers without furnishing a fact sheet 
concerning the boilers, and without supplying the required information 
in an approved industry directory. Third, the complaint alleges that 
Enerjet failed to submit a 1997 annual report concerning its boilers.
    The complaint also alleges that Enerjet violated the EPCA by 
distributing brochures that do not accurately disclose the annual fuel 
utilization efficiency ratings of its boilers in accordance with the 
test procedure prescribed by the Secretary of the Department of Energy, 
but rather overstate the energy efficiency of the boilers.
    The proposed consent order requires Enerjet to pay $10,000 civil 
penalty for violating the Rule. It also prohibits Enerjet from making 
any representation about the energy use or efficiency of any product it 
manufactures that is subject to the Rule, or the cost of energy 
consumed by such product, unless the product has been tested in 
accordance with a test procedure prescribed by the Secretary of Energy 
and the representation fairly discloses the results of such testing.
    The remainder of the proposed consent order contains provisions 
regarding recordkeeping, distribution of the order, notification of 
changes in corporate status, filing of a compliance report, and 
termination of the order.
    The purpose of this analysis is to facilitate public comment on the 
proposed order, and it is not intended to constitute an official 
interpretation of the agreement or the proposed order or to modify 
their terms in any way.


[[Page 14585]]


    By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 01-6136 Filed 3-12-01; 8:45 am]
BILLING CODE 6750-01-M