“Our board, CEO and management team are fully committed to fixing these issues and we are taking all steps necessary to urgently close any remaining gaps and fix our policies and procedures so that this can never happen again."

AUSTRAC's lawsuit said 12 customers of the bank had made suspicious payments that suggested they were linked to child exploitation. The watchdog has since referred the details to police.

Mr Maxsted said the bank had "taken action" on all of the customers identified by AUSTRAC and established a review, which included making improvements to its anti-money laundering and counter-terrorism financing (AML/CTF) systems.

“This review includes accelerating our ongoing program of AML/CTF improvements and we will
provide public updates on our progress," he said.

The statement was released after Prime Minister Scott Morrison on Friday repeated his call for the board to take responsibility for the scandal, while refusing to comment on whether Mr Hartzer should step down.

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"There has to be some understanding of accountability for when these things happen," Mr Morrison said on Friday morning.

With investors also piling pressure on the board, Mr Maxsted said the bank would appoint independent experts to oversee the program, which would include a review of accountability.

"We will take actions emerging from that review. An assessment of suitably qualified candidates to lead that review is underway."

He said the bank had started talking with community groups about whether there were further steps it could take to fight child exploitation.

“We are continuing to work closely with AUSTRAC to accelerate resolution of the matter," Mr Maxsted said. “The board will provide an update in coming days to share more information on what has occurred and what steps we are taking.”