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1. Preheat broiler. In a large saucepan, cook orzo in 4 cups boiling lightly salted water according to package directions; drain. Meanwhile, in a large oven-going skillet cook chopped peppers in hot oil over medium-high heat until tender. Stir in orzo.
2. In a large bowl beat together eggs and milk. Stir in olives, basil, salt, and pepper. Pour over vegetable mixture in skillet. Cook over medium heat. As mixture sets, run a spatula around the skillet edge, lifting egg mixture so uncooked portion flows underneath. Continue cooking and lifting edges until egg mixture is almost set. Reduce heat as necessary to prevent overcooking.
3. Broil 4 to 5 inches from heat for 3 minutes or until top is set. Sprinkle with cheese. Cover and let stand 5 minutes.
4. Cut into wedges to serve. Makes 4 servings.