SCT

Systems and Computer Technology, Inc. ("SCT") was a company involved in an alleged attempt to purchase Inslaw in early 1986. Bill Hamilton's affidavit described this as a "hostile" effort, alleging that in "late 1985" DOJ officials met with SCT representatives to "encourage" the SCT takeover of INSLAW. Hamilton also suggested an indirect link between Earl Brian and SCT, claiming that the investment firm Allen and Company bought 7.8% of SCT stock on behalf of an unnamed third party, and that one of the law firms that worked for Earl Brian also worked for SCT.¹

The Special Counsel's investigation found little evidence to support these allegations. It noted that by late 1985, Inslaw's implementation contract with the DOJ was terminated, and the DOJ was beginning to self-install PROMIS. Furthermore, Inslaw claimed that by 1985, Earl Brian had already obtained enhanced PROMIS and was selling it globally, which would negate any apparent reason for Brian or Hadron to attempt to control Inslaw through SCT in 1986. The investigation interviewed SCT officers and employees involved in the effort to purchase Inslaw, who stated that they approached Hamilton about a possible purchase, and he was initially receptive but later rejected the offer. They also confirmed that their only contacts with DOJ officials occurred during their due diligence, to understand Inslaw's disputes with the DOJ and the possibility of Inslaw obtaining additional contract work if SCT purchased Inslaw. None of the SCT employees had any knowledge of a DOJ effort to encourage the purchase or any connection between Earl Brian and SCT. The Special Counsel concluded that none of the evidence supported the allegation that the DOJ encouraged SCT to buy Inslaw, or that Earl Brian had any connection to the SCT effort.¹