A Vanuatu-based accountant with links to KPMG has been charged with defrauding the Australian commonwealth of more than A$10m (£5m) by promoting an offshore tax avoidance scheme.
Brian Francis Fox has been charged with one count of conspiring to defraud the country. This carries a maximum penalty of 20 years' jail and a fine of A$220,000, reports The Australian newspaper.
Five other men are included in the indictment, two of whom have also been charged.
The asset-stripping scheme was allegedly designed to leave Australian companies in a position where they were unable to pay their tax bills.
Fox works at Vanuatu's Hawkes Law, which until 2002 was known as KPMG. It is an independent firm with a correspondent relationship with the Big Four firm.
A Hawkes Law spokesman said the allegations pre-date Fox's employment with the firm, when he was working in Australia.
In April this year, investigators arrested Vanuatu-based accountant Robert Agius on allegations of money laundering. The two cases are not thought to be connected.
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