Swiss bank Julius Baer reaches deal to settle US tax dispute

BERLIN: Swiss bank Julius Baer says it has reached an agreement in principle to settle a dispute over dealings with US clients, and is setting aside $547.25 million to cover the costs.

Julius Baer was one of several Swiss banks that came under pressure in recent years over allegations they helped American clients cheat on taxes. The bank said Wednesday it has now reached an agreement in principle with the US Attorney's Office for the Southern District of New York. That is subject to final approval from the Department of Justice, which the bank is aiming for in the first quarter of 2016.

Julius Baer had made a preliminary provision of $350 million in June to cover a settlement, and increased that figure by $197.25 million in view of the agreement.