Firm fined for beagle abuse due to staff shortfall got $11 million in PPP funds

A Minnesota lawmaker said on Tuesday that he has asked the inspector general of the Small Business Administration to look into the PPP funds provided to Envigo RMS of Cumberland, Virginia, west of Richmond.

Rep. Pete Stauber (R-MN), citing investigations from the White Coat Waste Project, said the company received $11 million in staffing support from federal COVID-19 funds managed by the SBA.

However, the firm was forced to pay $35 million in fines in part because of a lack of staffing in the beagle abuse case involving some 4,000 dogs bred for animal testing.

Two PPP loans provided to the firm totaling $11 million and meant to support staffing requirements at the federal contractor were forgiven, such as many other PPP loans.

It is absolutely amazing that we’re finally going to have a sensible FDA Commish who opposes wasteful & cruel taxpayer-funded dog experiments!🐶

For years, @MartyMakary has been supporting @WhiteCoatWaste‘s work with @RepNancyMace to defund dog testing by Fauci & NIH ✂️💸💊💉🐕 pic.twitter.com/iScLrkuNSO

— Justin Goodman (@JustinRGoodman) November 25, 2024

The program was created early in the virus crisis to help companies keep staffers employed despite a drastic cut in business due to people staying at home. The SBA eventually said the Paycheck Protection Program was hit by vast fraud.

Stauber expressed surprise that Envigo received the PPP funds and was then charged with understaffing its kennels.

Today @WhiteCoatWaste told me how Beagles are the most common dog used for animal testing since they are so docile & trusting of humans. It was heartwarming to meet Beesly, one of the dogs saved from the awful practice of animal testing. pic.twitter.com/g7JvPde3rV

— Pete Stauber (@RepPeteStauber) April 27, 2022

“The understaffing that led to the abuse of thousands of beagles is not just abhorrent, but it also raises serious questions on how exactly Envigo spent the PPP funds they were allotted,” Stauber told Secrets.

“False statements in connection with a PPP loan application may be a felony, so I am calling on the SBA’s Inspector General to investigate the facts and circumstances of this case. We must hold those who took advantage of PPP funds at the expense of innocent animals accountable,” he added.

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Justin Goodman, the senior vice president with the White Coat Waste Project, added, “Taxpayers shouldn’t be forced to bankroll shady pet profiteers like Envigo that break the law, butcher beagles, and bilk the public. We’ve uncovered how Envigo has shockingly raked in nearly $100 million in federal funding for animal testing since it was busted for abusing thousands of puppies, and we’re grateful for Rep. Stauber’s outstanding efforts to hold them accountable and stop them from wasting any more of taxpayers’ money to hurt animals.”

The firm in June paid the historic fine after facing animal abuse and environmental charges. At the time, it said, “In committing the crimes identified in the charging document, and by not making the necessary infrastructure upgrades and hiring the requisite staff, we fell short of our standards for animal and environmental welfare and apologize to the public for the harm caused by our conduct.”