IRS Agent Indicted On Tax Fraud Charges

A federal tax official in charge of auditing large companies has been indicted on charges that he concocted complex tax schemes to defraud the government.

According to federal prosecutors, Harry Willner, who has worked for the Internal Revenue Service since 1974, would arrange loans between his two companies and claim one company had failed to pay the other.

Mr. Willner faces six years in prison and tens of thousands of dollars in fines if convicted. He was released yesterday on his own recognizance, a spokeswoman for the Manhattan federal prosecutor said.

An attorney who represented Mr. Willner yesterday, Robert Baum of the Legal Aid Society, didn't return calls seeking comment.