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Report: Caroline Had Tax Problem

Turns out all is not clean in Caroline Kennedy’s world, according to The New York Times. Her candidacy for the Senate was derailed by alleged problems involving taxes and a household employee, says a source close to Gov. David Paterson. The news is at odds with her previously reported reasons for dropping out of the race. No additional details about the tax problem are available at this time. Sources say Gov. Paterson is leaning towards Representative Kirsten E. Gillibrand for the Senate seat.