Three committees in the board of graft-ridden National Bank were formed, a week after the central bank reconstituted the governing body to help the country's first private sector lender make a comeback.

On December 21, the Bangladesh Bank reconstituted the board to protect the interest of depositors and ensure good governance following a recommendation from the Bangladesh Securities and Exchange Commission.

The new committees comprising the board directors were appointed at the 491st meeting of the board yesterday, according to a press release today.

Parveen Haque Sikder, a director of National Bank, became the chairperson of the executive committee, and Moazzam Hossain, a sponsor shareholder and director, was made chairman of the risk management committee.

Md Serajul Islam, a former executive director of the Bangladesh Bank, and an independent director of NBL, became the chairman of the audit committee.

The previous board violated rules while approving loans, made undue interference in the day-to-day running of the bank, and indulged in financial irregularities, according to the BB.

As of September, the bank's bad loans amounted to Tk 13,514 crore.