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SPOILERS:
No, it is integral to the plot that you get framed/arrested either way.
Although, I found in one of my saved games where I was experimenting with various courses of action that my rep DID remain intact when I avoided the fight with Reiltar and went right to speak wit Ulrant or whoever it is. I mean I was still framed and went through the being sprung from jail scenario, and all--but my rep remained 17.
Interestingly, however, I then found it virtually impossible to win the first battle in the final section of the catacombs (caves)! That is, when my high rep was intact I fought that battle over and over, and simply could not win it without at least one fatality. And when I played it the other way, i.e., having fought Reiltar and with rep plummeting, I didn't have nearly as hard a time. Of course, it may just have been a fluke that the high rep remained unaltered and that I had such a difficult time with that battle. In any event, I wondered if the AI was making it like getting around the Keeper of the Portal, or whatever he is called, out front of Candlekeep. So I continued with the version where my rep dropped. Dropping down to an average rep didn't really matter anyway. I had plenty of dough by then.
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