SAIC agreed to pay nearly $12 million to settle a False Claims Act lawsuit alleging the company submitted inflated bills under federal grants to train anti-terrorism first responders. Between 2002 and 2012, the Department of Justice, the Department of Homeland Security, and the Federal Emergency Management Agency (FEMA) awarded six grants to the New Mexico Institute of Mining and Technology (New Mexico Tech), and in turn the school awarded subgrants to SAIC to provide course management, instruction, and development. The lawsuit, filed by former SAIC project manager Richard Priem, alleged that SAIC’s cost proposals included inflated charges for personnel. Under the settlement agreement, SAIC did not admit any liability and agreed to pay $11.75 million to the United States and $200,000 in attorneys’ fees to Priem’s lawyers.