"now the bank has sent a corrected 2023 1099-R with the distributed amount and tax withheld. "
You are correct, it's improper for the bank to have done this, but it's not the first time I have heard of that being done. Now you'll have to amend your 2023 tax return. Particularly since taxes were withheld, it would be impractical to convince them to correct this 2023 Form 1099-R to show that no distribution and no tax withholding occurred in 2023.
