Joseph R. Raymond, 38, deputy auditor general of the Agency for International Development who was a former member of Maryland's House of Delegates and assistant attorney general for Maryland, died of cancer Monday at Washington Hospital Center.

Mr. Raymond was named No. 2 man in the AID division that audits overseas expeditures on foreign aid in August 1977.

A native of New York, he had moved to Baltimore at an early age. After earning bachelor's and law degrees at Georgetown University and serving as an Army officer for two years, he became an assistant state's attorney for Baltimore City.

After serving as assistant attorney general of Maryland for two years, he was appointed to fill a vacancy in the House of Delegates in 1972. There he worked for bills concerning women's rights and a bill to keep a 9 percent interest ceiling on home loans.

Mr. Raymond was Presidential candidate Sen. George McGovern's 1972 Maryland primary campaign manager, and was the sentor's Maryland floor leader at the Democratic National Convention that year.

Before joining AID, he had worked as head of the affirmative action and equal opportunity programs in the Baltimore city solicitor's office.

Mr. Raymond had served as president of the Maryland Young Democrats in 1968, and as chairman of the New Democratic Coalition of Maryland from 1971 to 1972.

He is survived by his wife, Elizabeth R., and a stepson, Edward N.T. Mathias, of the home in Washington; York; his mother, Frances Cole, of Albuquerque, N.M., and a brother, Frederick W., of Walkersville, Md.

The family requests that expressions of sympathy be in the form of contributions to the United Negro College Fund.