PAE, RM Asia Settle With U.S. (Updated)

PAE Government Services and RM Asia have agreed to pay the government $1.45 million to resolve allegations they engaged in a bid-rigging scheme that resulted in false payment claims under an Army contract for work in Afghanistan, the Justice Department announced today.

In 2007, the service awarded PAE a contract to provide vehicle maintenance and training services for the Afghanistan National Army, according to DOJ. PAE partnered with RM Asia on the work.

DOJ alleged former managers of the two companies used confidential information to ensure that companies they and their relatives owned won subcontracts.

Under the settlement, the claims remain allegations and there is no determination of liability.

UPDATE: In a statement provided to InsideDefense.com, PAE said it "was also a victim in this case."

"Although a PAE employee was among the perpetrators of this criminal scheme, in no way did PAE benefit from this criminal conspiracy," the company said.