Staff were notified on Monday that Prof Richard B Davies had stepped aside while the inquiry, which has been under way for a number weeks, was completed.
The university confirmed that the dean of the school of management, Prof Marc Clement, had also been suspended. It is understood that two further members of staff at the school have been suspended as well.
In a message to staff, reported by Wales Online and other local media outlets, the universitys registrar, Andrew Rhodes, said the matters under investigation did not concern the academic performance of the university or its financial wellbeing.
As set out in the university ordinances, I will carry out the functions of the vice-chancellor in the short term, until other measures are put in place, Rhodes said.
I will update you about these measures, and about interim arrangements for the school of management, as soon as I can.
He added: I appreciate that a lot of questions will arise from this message, but it will not be possible to provide more detail at this time.
I would like to reassure you that the senior management team, heads of college, professional services directors of the university and myself are all working closely together to make sure the university continues to thrive and to conclude this very difficult matter.
The focus of the investigation is understood to be the school of management, which boasts of being among the top 30 UK business schools for research excellence and of having strong links to industry, innovative teaching and pioneering research.
Davies, who was brought up in west Wales, studied engineering at Cambridge before receiving a PhD from the University of Bristol, and has worked across a wide range of disciplines including medicine, metallurgy and social science.
He has overseen a period of substantial growth at Swansea University, with the opening of the Bay campus three years ago. Last year he hosted a visit by Hillary Clinton, who gave her name to a childrens rights research scholarship at the university.
Llanelli-born Clement, who has held several senior academic positions, was appointed dean of the school of management in 2015.
A university spokeswoman said on Monday: We can confirm that the vice-chancellor, Professor Richard B Davies, and Professor Marc Clement have been suspended pending the outcome of on an internal investigation. We are not making any further comment at this stage.
Swansea University's vice-chancellor has been suspended while an 'internal investigation' is carried out.
A second member of staff has also been suspended pending the outcome of the investigation. Professor Marc Clement, Head of Swansea University Business School, has stopped his teaching while the investigation is underway.
Vice-chancellor Richard B Davies has been in the post since October 2003. Before taking up the position in Swansea, Professor Davies was Pro-Vice Chancellor at Lancaster University and Professor of Applied Statistics. He is responsible for financial sustainability at Swansea University.
In a statement, the university said both men were suspended pending the outcome of an internal investigation.
We can confirm that the Vice-Chancellor and Professor Marc Clement have been suspended pending the outcome of on an internal investigation. We are not making any further comment at this stage.