Julius Baer has agreed 'in principle' with US authorities to resolve allegations that it helped wealthy Americans hide their money from the taxman.

The Swiss banking giant has provided for an additional $197.25 million to supplement the $350 million it set aside for the purpose in June last year.

The Zurich-listed bank has “reached an agreement in principle with the US Attorney’s Office for the Southern District of New York with respect to a comprehensive resolution regarding its legacy US cross-border business,” it told the press recently.

The bank, like many of its Swiss peers, has been trying to 'buy off' claims that it allowed US clients to stash funds in secret accounts over a period of several years. It no longer provides such services to Americans, as is also the case with firms such as UBS. Some 75 Swiss-based financial institutions have so far signed non-prosecution agreements and paid fines to the US. Julius Baer anticipates that it will sign an agreement with the US Department of Justice in the first quarter of this year.