(Reuters) - Australia's Westpac said on Wednesday that its unit, RAMS Financial Group, had reached an agreement with the country's securities regulator to resolve an investigation concerning oversight of conduct of its franchisees and their employees.

The unit will resolve the matter through agreed civil penalty proceedings filed by the Australian Securities and Investments Commission (ASIC) in the Federal Court, based on allegations of systemic misconduct in arranging home loans.

The ASIC has commenced proceedings against the lender's unit, alleging that it engaged in widespread unlicensed conduct between June 2019 and April 2023.

RAMS has admitted to conducting business with unlicensed persons, failing to properly supervise its representatives, and other related shortcomings, the regulator said in a statement.

ASIC is seeking declarations and financial penalties against RAMS, and the date of the first hearing is yet to be scheduled.