E&Y partners charged with tax fraud conspiracy

Four current and former tax partners at Ernst
& Young
have been charged by a US grand jury with tax fraud conspiracy.

The four are alleged to have marketed fraudulent tax shelters to wealthy
clients who would otherwise have owed the IRS
more than $10m (?5m) apiece.

The four charged are former partners Robert Coplan and Brian Vaughn, and
current partner Martin Nissenbaum and Richard Shapiro, who are on administrative

They all worked in a group set up by E&Y in 1998 to develop and sell tax
shelters for the rich, known as
Ideas Produce Extraordinary Results
, or Viper.

All are expected to plead not guilty

E&Y said in a statement: ‘The individuals who were indicted . . . were
part of a small group within the firm, disbanded years ago . . . Ernst &
Young has voluntarily made many changes and enhancements to our tax practice.’

Further reading:

US Treasury secretary against collecting more tax

US taxman eyes offshore vehicles

US tax agent charged with tax dodging

Related reading