GameStop may be in hot water for its policy of letting employees checkout new releases and still selling them as new.

According to tips Kotaku received from several GameStop managers and employees, GameStop often “guts” several copies of the games they receive in each shipment, removing the game discs and manuals so that the games can be displayed without worry of theft. These games are placed in protective sleeves under the counter. If a customer asks why they aren’t getting an un-opened copy, they are told that the game is a display copy and the game is still sold to them as new.

These gutted copies of games are also rented out to GameStop employees, which is allowed per corporate policy. These games are than placed with the other gutted copies and sold to the customer as new. Again, if the customer asks why they are receiving an opened game, they are told that it is an un-played display game.

Kotaku contacted GameStop in regards to this policy. GameStop’s vice-president of communications Chris Olivera declined to comment. “We do not comment on corporate policies that are competitive in nature. As your questions relate to company training, operations and discounting practices, I would not be able to provide feedback."

Kotaku also contacted the Federal Trade Commission (FTC), asking whether GameStop’s selling of pre-played games as new would qualify as deceptive advertising, since used games usually cost about $5 less than their new counterparts. The FTC could not comment on the existence of an investigation into GameStop’s policies, as it is their policy to not comment on individual businesses’ practices. However, they did encourage consumers to contact them if they had complaints about a company’s business policies. "The Federal Trade Commission protects consumers from unfair or deceptive advertising and marketing practices, and we encourage any consumer with a complaint about a company’s business practices to contact us," said FTC public affairs specialist Betsy Lordan.

Stay tuned to TGR to see how this story unfolds.