The country's largest bank, Commonwealth Bank of Australia (CBA.AX), announced on Thursday that it would plead guilty to 30 counts brought against it in federal court for misselling consumer credit insurance to its customers.

Since a Royal Commission inquiry in 2018, which uncovered numerous flaws in the sector and forced corporations and authorities to take rapid response, scrutiny of Australian lenders and financial institutions has increased dramatically.

In May, Bank of Queensland's (BOQ.AX) affiliate ME Bank was charged with making false and misleading promises, while in April, a case was filed against no. 2 lender Westpac (WBC.AX).

According to CBA, the allegations were lodged on Thursday by the Australian Securities and Investments Commission (ASIC) and relate to the promotion and sale of specific products as an add-on insurance product to 165 clients.

"CBA apologizes to customers who were affected by these issues and accepted that this conduct was unacceptable."

According to the ASIC, CBA made false or misleading assertions about insurance policy advantages to consumers between 2011 and 2015, when part or all of the benefits were not accessible.

The bank stated that it self-reported the problem to ASIC in 2015 and reimbursed affected clients and stated that it no longer provides the products in question.

CBA was sued separately by authorities earlier this year for alleged compliance problems in the delivery of financial services, charging incorrect access fees, and overcharging interest.