HAGERSTOWN —The congressional campaign of Montgomery County businessman John Delaney said Thursday that an Internal Revenue Service audit of his company is “fairly standard.”
CapitalSource Inc. mentioned the audit in a Securities and Exchange Commission filing last month. It was publicized Thursday by the campaign of state Sen. Rob Garagiola, one of Delaney’s opponents for the 6th Congressional District Democratic nomination.
CapitalSource is being audited for the tax years 2006 through 2008, when it operated as a real-estate investment trust. The company said its senior management had limited experience with the tax rules for those organizations, and it can’t assure investors it met the requirements.
Garagiola’s camp said both the business and Delaney’s campaign are based on fraud.
Delaney Campaign Manager Justin Schall said in an emailed statement Thursday that’s untrue.
“This is another example of Annapolis politician Rob Garagiola looking at forms he clearly doesn’t understand and making desperate and inaccurate accusations,” Schall said.
“It is a lie to say that John Delaney is under investigation. ... It’s a shame, because when Garagiola hides the truth and misrepresents facts, it’s the voters in Maryland who lose.”