ARIZONA NEWS

Phoenix-area trucking group asked to return coronavirus aid payroll loan

May 11, 2020, 11:15 AM | Updated: 2:52 pm

(Twittter Photo/EVO Transportation)...

(Twittter Photo/EVO Transportation)

(Twittter Photo/EVO Transportation)

PHOENIX – A Valley-based transportation company said it intended to keep the coronavirus relief federal loan that a House subcommittee wants back from five companies.

EVO Transportation and Energy Services of Peoria said in a press release Friday that the company qualified for the Payroll Protection Program under the terms set by the U.S. Treasury Department and U.S. Small Business Administration.

Firms were eligible “with less than $15 million in tangible net worth and less than $5 million in earnings in each of the past two tax years.

“EVO has and will continue to use the PPP proceeds for payroll.”

The Democrat-led panel also sent letters to Gulf Island Fabrication Inc., a manufacturer of marine vessels used in the energy sector based in Texas; MiMedx Group Inc., a biopharmaceutical company based in Georgia; Quantum Corporation, a video streaming and storage company based in Silicon Valley, California; and Universal Stainless & Alloy Products Inc., a steel manufacturer based in Pennsylvania.

The letters asked the companies to respond by Monday and inform the committee whether they are returning the money and by what date.

They said that the law providing the aid was passed by Congress to be a lifeline for small businesses who might be forced to lay off employees or shut down entirely.

“We did not intend for these funds to be used by large corporations that have a substantial investor base and access to capital markets,” the Democrats wrote.

The panel said the companies received loans of $10 million or more, are all public, have more than 600 employees and have a stock market value of more than $25 million.

EVO employs about 1,400.

The company said it did not “have access to capital markets (it sought unsuccessfully in March to raise equity from third parties in a private placement) and presently nearly all of EVO’s investors are unable to sell shares.

“EVO’s small market float is measured in thousands of dollars, not hundreds of millions of dollars. All of these factors support EVO’s application to the PPP which was consistent with the letter and spirit of the law.”

The Associated Press contributed to this report.

We want to hear from you.

Have a story idea or tip? Pass it along to the KTAR News team here.

Arizona News

A man was arrested for arson after a fire broke out early Saturday at Grand Canyon National Park on...

KTAR.com

21-year-old Arizona man arrested on arson, DUI charges at Grand Canyon National Park

A man was arrested for arson after a fire broke out at Grand Canyon National Park last week, authorities said.

3 minutes ago

A one-year-old boy is in critical condition after nearly drowning in Scottsdale. (Pexels photo)...

KTAR.com

1-year-old in serious condition after nearly drowning in Scottsdale pool

A one-year-old boy is in serious condition after he was pulled from a pool in Scottsdale on Friday, the Scottsdale Fire Department said.

35 minutes ago

Colorado River settlement center of new Navajo Nation push...

Associated Press

Tribes say their future is at stake as they push for Congress to consider Colorado River settlement

Navajo officials are celebrating the signing of legislation outlining a proposed Colorado River settlement that would ensure water rights.

3 hours ago

Man indicted for organized retail theft, allegedly stole 31 times...

Serena O'Sullivan

Phoenix man accused of stealing from same retail store 31 times

A Phoenix man allegedly stole goods worth $7,000 from a single store over two years. He's been indicted for organized retail theft.

4 hours ago

The OFFSTREET Fesitval Arts & Crafts Show will return to Prescott, Ariz. for Memorial Day weekend. ...

Damon Allred

OFFSTREET Festival Arts & Crafts Show returns to Prescott for Memorial Day weekend

The OFFSTREET Festival Arts & Crafts Show is returning to Pine Ridge Marketplace in Prescott for a cultural showcase over the weekend.

5 hours ago

Two coyotes were euthanized following their capture in Scottsdale on Wednesday, May 22, 2024, after...

KTAR.com

2 coyotes euthanized after man walking his dog attacked in Scottsdale

Two coyotes were euthanized following their capture in Scottsdale on Wednesday after a man walking his dog was attacked.

7 hours ago

Sponsored Articles

...

Condor Airlines

Condor Airlines can get you smoothly from Phoenix to Frankfurt on new A330-900neo airplane

Adventure Awaits! And there's no better way to experience the vacation of your dreams than traveling with Condor Airlines.

...

DESERT INSTITUTE FOR SPINE CARE

Desert Institute for Spine Care is the place for weekend warriors to fix their back pain

Spring has sprung and nothing is better than March in Arizona. The temperatures are perfect and with the beautiful weather, Arizona has become a hotbed for hikers, runners, golfers, pickleball players and all types of weekend warriors.

...

Day & Night Air Conditioning, Heating and Plumbing

Day & Night is looking for the oldest AC in the Valley

Does your air conditioner make weird noises or a burning smell when it starts? If so, you may be due for an AC unit replacement.

Phoenix-area trucking group asked to return coronavirus aid payroll loan