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Feds Investigate O'Donnell Spending

BALTIMORE (CBS/AP) -- A person with knowledge of the investigation says federal authorities have opened a criminal probe of Delaware Republican Christine O'Donnell to determine if the former Senate candidate broke the law by using campaign money to pay personal expenses.

The person spoke on condition of anonymity to protect the identity of a client who has been questioned in the probe. The case, which has been assigned to two federal prosecutors and two FBI agents in Delaware, has not been sent to a grand jury.

O'Donnell, who set a state record by raising more than $7.3 million in a tea party-fueled campaign this year, has been dogged by questions about her finances.

Christine O'Donnell's campaign released the following statement in response to investigation rumors:

Campaign Manager Matt Moran responded to the rumor of a criminal investigation, "We have heard absolutely nothing other than the same unsubstantiated allegations and rumors that have been circulating in the press for months."If anything does materialize from this rumor, we will continue to fully cooperate as we have made every attempt to ensure we are in compliance with all rules and regulations. The politically motivated charge was all started by false accusations by Christine's political opponents…"

(TM and © Copyright 2010 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2010 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed. The Associated Press contributed to this report.)

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