Legal action against traders if they don’t control prices :: Khaleej Times

I hope our principles of economics students can explain why this is not a good idea:

SHARJAH — The Market Control Section of Sharjah Municipality has issued warning letters to a number of traders and companies reported to have increased the prices of products following the recent hike in the salaries of government employees. The letters said they would have to face legal action if they failed to keep prices stable.

And then there's this:

According to recent statistics, the UAE is considered as one of the countries with the highest waste rate per person, meaning people were purchasing things even if there was no need.

Please, Khaleej Times, be more specific. Whose recent statistics?