Westpac said it would pay the customers about A$65 million ($51 million) in total, resulting in an after-tax charge of A$45 million ($35.3 million).
The customers were supposed to receive cash payments for holding multiple "packaged" accounts since 2010 but did not get the money, Australia's No. 2 lender said."Some customers did not receive discounts on ancillary products such as home and contents insurance and term deposits," Westpac said in a statement issued to the Australian Securities Exchange."The packages have since been simplified and all benefits are now automated."The government has increased scrutiny of the banks after a number of scandals shook public confidence in the sector, including alleged breaches of money-laundering laws by the Commonwealth Bank of Australia