The Westpac Banking Corp (ASX: WBC) share price will be on watch on Tuesday after it provided an update on its dealings with AUSTRAC.
What did Westpac announce?
On Monday Westpac and AUSTRAC appeared in the Federal Court for a case management hearing.
This was in relation to the proceedings commenced by AUSTRAC on November 20 alleging that Westpac had breached the Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) Act on 23 million occasions.
This includes failing to carry out appropriate customer due diligence on transactions to the Philippines and South East Asia that have known financial indicators relating to potential child exploitation risks.
What happened in court?
Westpac and AUSTRAC were not in court for long.
According to the release, the two parties jointly told the court that discussions regarding a Statement of Agreed Facts have commenced.
After which, the court adjourned the matter to be further listed for a case management hearing in late February or early March 2020.
Westpac advised that it is determined to resolve this matter with AUSTRAC and to urgently fix its issues around financial crime compliance.
This includes having systems and controls in place to prevent its services being exploited for financial and other serious crime, including to monitor and report certain transaction activity.
The bank notes that it has made a number of changes to its transaction monitoring and is continuing to review its processes and report to AUSTRAC suspicious matters that are identified.
It is also implementing its Response Plan and is determined to lift its standards and ensure its anti-money laundering and other financial crime processes meet its obligations.
In other news.
In other industry news, the IOOF Holdings Limited (ASX: IFL) share price could be on the move today after moving a step closer to completing the acquisition of the Australia and New Zealand Banking Group (ASX: ANZ) Wealth Pension and Investments business.
Late yesterday the financial services company revealed that APRA has given its approval. This was the last approval that was required. It hopes to complete the deal by the end of January.
