Two St. Louis-area contractors settled a disadvantaged business enterprise fraud case with federal authorities after a competitor exposed the alleged fraud using a law that dates to the Civil War.

United Ironworkers, Steeleville, Ill., and D&K Welding Services. St. Louis, along with company presidents Kim Rasnick and Dorrie Wise-Harris, agreed to pay $440,000 to resolve the claims against them, the U.S. Attorney’s Office for southern Illinois announced in January. The case formally closed this month.