AT&T Missouri has agreed to pay $1.4 million to settle a civil lawsuit contending that the company and the Kansas City School District made false claims in awarding high-dollar technology contracts, the Kansas City Star reports. The U.S. Department of Justice announced the settlement Tuesday in a case involving the federal E-Rate program, which has provided billions of dollars nationwide to help schools in high-poverty districts improve classroom technology. The school district settled with the government in May 2007, paying a $66,000 fine and agreeing to regular audits and a complete turnover in its management of the E-Rate program. Neither AT&T, formerly SBC, nor the school district admitted any wrongdoing in their settlements. The claims were a matter of civil litigation. No criminal charges were filed.

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