The ASX-listed BSP Financial Group, the largest bank in the Pacific, is in danger of losing its chairman just weeks after Papua New Guinea’s financial crime agency demanded the resignation of its chief executive over breaches of anti-money laundering laws.

The lender, which trades as Bank of South Pacific and has a market value of $2.3 billion, has breached PNG’s prudential standards by allowing its chairman, Kostas Constantinou, to serve in the role for more than six consecutive years.