Taco Cabana, Pollo Tropical owner will give back $15 million in stimulus loans
The Addison-based owner of the Taco Cabana and Pollo Tropical restaurant chains plans to return $15 million in forgivable Paycheck Protection Program loans after growing scrutiny over publicly traded companies netting stimulus intended for small businesses.
Fiesta Restaurant Group, which had $660.9 million in revenue in 2019, disclosed the move in a regulatory filing Wednesday. The filing didn’t explain why it’s giving back the money, which was designed to cover payroll and other operating costs for businesses suffering during the COVID-19 pandemic.
The company didn’t respond to requests from The Dallas Morning News for additional comment.
Critics of the PPP loans have focused on public companies taking loans under the program pitched as a lifeline for businesses with fewer than 500 employees. Other restaurant chains, such as high-end steakhouse Ruth’s Chris and fast casual burger joint Shake Shack, also have repaid millions in loans.
Earlier this week, Bedford-based manufactured home seller Legacy Housing Corp. returned $6.5 million to the program. But the biggest beneficiary, a group of hotel companies run by Dallas hotelier Monty Bennett, has said it’s keeping the $126 million it received in PPP loans.
Read more: https://www.dallasnews.com/business/local-companies/2020/04/29/taco-cabana-pollo-tropical-owner-will-give-back-15-million-in-stimulus-loans/