10:00 AM EST, 02/21/2025 (MT Newswires) -- (Updates with CrowdStrike's ( CRWD ) response in the fourth paragraph.)

The US Department of Justice and the Securities and Exchange Commission are investigating a $32 million deal between CrowdStrike Holdings ( CRWD ) and Carahsoft to provide cybersecurity tools to the Internal Revenue Service, Bloomberg reported Friday, citing two people familiar with the matter and a document it saw.

Investigators have been interviewing people and gathering records related to the deal, the report said.

Carahsoft paid CrowdStrike ( CRWD ) for the deal, which the cybersecurity firm completed in 2023, but the IRS never bought the products, Bloomberg first reported in October.

"We stand by the accounting of the transaction," a CrowdStrike ( CRWD ) spokesperson told MT Newswires.

Carahsoft did not immediately reply to a request for comment from MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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