Dynamics Research Corporation (DRC) has agreed to pay the United States $15 million plus interest in a settlement involving two former executives who engaged in a fraudulent kickback scheme aimed at service contracts with the Air Force.

The United States filed a civil suit in federal court in Boston alleging the former executives steered contracts for computer equipment and services to companies owned by themselves, their family and others in exchange for kickbacks and inflated contract prices.

The contracts required DRC’s employees to certify that, “neither they nor their spouses had financial interests that would interfere with their ability to deliver unbiased advice.” Former vice presidents Paul Arguin and Victor Garber, who were the heads of the project, did not confirm this.

The suit was seeking damages and penalties under the Anti-Kickback Act and the False Claims Act in the federal district court in Boston.

The Defense Criminal Investigative Service, the Air Force Office of Special Investigations, the General Services Administration’s Office of Inspector General, and the Defense Contract Audit Agency assisted with the investigation.