Bank of Ireland governor Mr Laurence Crowley drew an angry response from shareholders when he advocated that they, and the bank's employees, should support the Nice Treaty.

"I think your staff and shareholders are capable of making up their own minds on Nice. You are only one step away from telling us how to vote in a general election," Mr Hugh Sheridan told the governor.

Others echoed similar sentiments, telling Mr Crowley that it was not the bank's business to interfere in the political arena.

"You should not make any comment," Mr William Nolan declared to the applause of the more than 200 shareholders at the bank's annual general meeting in Dublin yesterday.

In his opening remarks to the meeting, Mr Crowley said it was his view and that of the entire board of directors, that a further rejection of the Nice Treaty would do "irreparable damage" to the Republic's interest, and also to the interests of Bank of Ireland and its shareholders. "I have no hesitation in recommending to you, our stockholders, and to the employees of the group in the Republic of Ireland, that you support the adoption of the Nice Treaty in the forthcoming referendum."

Mr Crowley said he accepted what shareholders were saying. When it was pointed out that a large number of Irish citizens had already voted against the adoption of the treaty, the governor said his remarks were directed at those who had not voted in the last referendum.

This is the second intervention from the business community in as many days. On Tuesday, IDA Ireland chief executive Mr Sean Dorgan was criticised for warning that a No vote could have negative implications when attracting international investment into the Republic.

The other main issue exercising Bank of Ireland shareholders was whether the bank was about to merge with AIB. Mr Crowley supported the "timely and essential" debate initiated by the bank's chief executive, Mr Michael Soden, about the future of the Irish banking industry.

He suggested that it would be very much in the national interest for the two big banks to come together rather than have them taken over by foreign institutions. Mr Crowley unequivocally stated that no merger proposal has been extended to AIB by the Bank of Ireland but he emphasised that the bank believed it was right to conduct such a debate.

"We do not accept that it is proper for us to be passive and await future events. The loss of control of the Irish banks could lead to loss of services, skills, jobs and much of the infrastructure to support Irish industry," Mr Crowley said.

"Our preferred position would be for the two banks to remain dominant, independent banks managed in Ireland. We are just cultivating a debate about the future," he added.