Page 33 - Banking Finance June 2021
P. 33

ARTICLE






         ETHICS IN





         BUSINESS AND




         CORPORATE





         GOVERNANCE












         E        thics is quite old as a subject but in recent years  are immoral decisions either for personal benefit or for a


                  ethics and ethical behaviour in business have
                                                              group's benefit. To overcome unethical behaviour and
                  emerged as a topic of interest due to
                                                              develop an ethical culture in business, it has been felt
                  misgovernance in corporate houses and banks
                  despite having a well laid governance structure  necessary to include ethics as part of curriculum even in top
                                                              notch business schools.
         in place with checks and balances in systems and procedure.
         This is attributed to lack of ethical behaviour and culture.  Several corporate scandals from Enron to Satyam to
                                                              Volkswagen and many others not so widely discussed have
         Ethics is the study of right or wrong. It tells you whether  brought unethical business behaviour to forefront. Banking
         your actions or behaviour are morally correct. Ethics includes  being a business working closely with business organisations
         equity and justice. Business ethics is related to ethical  cannot remain aloof and untouched from the current trend
         dimension of corporate activities and governance.Corporate  which has infected business practices. A number of bank slike
         governance is controlling the activities of an organisation  Global Trust Bank, PMC bank and Yes bank etc. to name a
         and directing the organisation to achieve its goal. This  few have been in news for their poor governance and RBI
         controlling and directing has to be ethically correct. History  was forced to step in. Mounting NPAs which have brought
         shows that the main reasons of corporate misgovernance  banks under pressure, in many cases,are believed to be the
                                                              result of poor governance practices.
                               About the author               If we look at the Governance Structure and systems and

                                                              procedures in business organisations and banks, a sense of
                        Ajay Chandra Pandey                   satisfaction will emerge. One will find a well laid system and
                        AGM and Faculty
                        SBICRM, Gurugram                      procedure, a qualified board of directors, active Audit
                                                              committee, presence of a risk governance structure and

            BANKING FINANCE |                                                                 JUNE | 2021 | 33
   28   29   30   31   32   33   34   35   36   37   38