The board of directors of the bank at its 207th meeting held on May 15 elected a chairman and two vice-chairmen from sponsor directors.

Following the election, Bangladesh Bank directed the Prime Bank authorities to reconstitute the board of directors in line with the existing Bank Companies Act.

Meanwhile, a Prime Bank press release on the new chairman and vice-chairmen sent to newspaper offices was withdrawn yesterday following the BB instruction.

Sources said BB gave the order against the backdrop of violation of the existing rules relating to the tenure of a private bank director.

A good number of directors whose tenure already expired were re-appointed by the Prime Bank in its board at the bank's annual general meeting held on May 16 last.

Under the existing rules, none can become a private bank director for more than two consecutive terms with each term consisting of three years.

The central bank earlier instructed the private commercial banks to make sure that the tenure of a director does not exceed six years in two consecutive terms.