Julius Bär Gruppe AG will suspend an employee involved in an investigation by Swiss federal prosecutors into arms deals by Swiss weapons-maker RUAG, Reuters reported.

A spokeswoman for the Swiss lender said it had taken note of the allegations surrounding the employee and was looking into them, according to the newswire.

A Julius Bär banker in Russia has been alleged to be involved in the case, Reuters reported, citing Swiss paper Handelszeitung.