Hunt Management Chief Operating Officer Brad Cole testifies during the evidentiary hearing for Johnson Utilities on Monday at the Arizona Corporation Commission in Phoenix./Jake Kincaid/PinalCentral
By Jake Kincaid | PinalCentral
Brad Cole, chief operating officer of Hunt Management, failed to explain Monday what happens to approximately $9 million in revenue — paid by Johnson Utiliies customers — that is funneled to subsidiary company Ultra Management despite the fact that Chris Johnson, the owner of the subsidiary, testified that Cole could explain what happens to the money.
The destination of $15.5 million, about half of Johnson Utilities’ annual revenue, that is transferred from Johnson Utilities to Ultra Management has been an ongoing mystery in the evidentiary hearings at the Arizona Corporation Commission, which is forcing the utility to demonstrate why it should not have an interim manager appointed by the commission.
Hunt Management leases all employees to Johnson Utilities, which only has one employee itself.
