Westpac says the financial crime watchdog may include additional allegations of wrongdoing in its case against the lender for breaching anti-money laundering laws.

The Australian Transaction Reports and Analysis Centre (AUSTRAC) last year accused the bank of failing anti-money laundering and counterterrorism laws on reporting transactions on 23 million occasions and in November filed civil proceedings in the Federal Court.

The country’s second-largest bank, which has already set aside $900 million for a potential legal penalty, has blamed its breaches on deficient processes, poor understanding and lack of resources.