Bundesbank scolds board member for controversial comments

FRANKFURT Aug 30 (Reuters) - Germany's Bundesbank distanced itself from one of its board members on Monday after comments about Jews and immigrants created a political storm, but stopped short of calling for his resignation.

Views expressed by Thilo Sarrazin, who joined the German central bank's board last year, did not reflect the views of the Bundesbank, the central bank said in a statement after an extraordinary board meeting. German Chancellor Angela Merkel said on Sunday the Bundesbank would have to examine whether Sarrazin could remain in his post and other political leaders said he was out of line for his comments about Jews, which were also criticised by Jewish leaders in the country responsible for the Holocaust.

Sarrazin, 65, told a German newspaper that "all Jews share a particular gene" ahead of the release of his book on Monday that takes a critical look at Turk and Arab immigrants.

"The Bundesbank board is of the view that Dr Sarrazin's comments hurt the image of the Bundesbank," the statement said, adding that discrimination had no place at the institution.

The board would talk to Sarrazin and decide on further steps in a timely way, the Bundesbank said. (Reporting by Krista Hughes and Sakari Suoninen)