Page 45 - Banking Finance June 2021

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responsibility to maintain accountability within the system. malpractices, and other misdemeanours of their peers and
This approach towards vigilance also helps in creating a even seniors through this mechanism.
more transparent system. A collective sense of responsibility
should exist within all the employees to ensure that nobody It also provides necessary safeguards and protection to the
abuses the system for his personal gain. employees who disclose the instances of unethical practices
observed in the organisation. All such employees who
If any employee of the Bank acts in an unusual or suspicious disclose such information are kept completely anonymous
behaviour, it is the responsibility of all the other staff to prevent any social or professional repercussion at their
members including branch head, officer, assistant, workplace.Banks should sensitise their employees about the
subordinate staff and security guards to observe him whistleblower policies in place in the organisation and
carefully, identify any breach of ethics and get alerted. The encourage them to report such incidents to the designated
person in the organisation.
same goes for any customer of the Bank as well. Staff
member at all levels should make such observations about The Banking institutions in India are being swamped by
the customers as well and be on lookout for any suspicious customers. India despite being the second most populated
behaviour. This also works in a reciprocal manner wherein country in the world has a relatively miniscule number of
the customers should also remain vigilant about the staff
large banks. These Banks handle immense volume of
members and if any staff member makes any illicit proposal transactions and customers on a daily basis. In such a
or inducement, the other staff members should be situation, it becomes an increasingly cumbersome task to
immediately alerted. ensure regularity and prevent lapses by a vigilance
department in the Bank. The scale of operations of a big
There have been numerous instances wherein canteen boys Bank in India means that despite having a dedicated
or office boys who are employed by the Bank on contract department for Vigilance and a Chief Vigilance Officer it is
basis have prevented fraud from happening all because of quite difficult to be present at all places at all times to
their presence of mind and vigilant attitude. There have also evaluate and check for regularities constantly.
been incidents where in the customers have shown their alert
attitude and have averted the fraud from happening. For Every employee in the organization should feel that they are
example, in cases of cheque frauds, majority of the times the a part of the vigilance team and keep a constant watch on
faulty cheques are identified by the Bank employees not only their own acts and deeds but also of others. This
themselves whereas the customers remain unaware about will ensure wiping out the menace of the corruption and
such cheques. other untoward incidents within the organisation leading to
financial stability of the organisation, a healthier public
The Banks should work towards sensitization of the outlook and stable work environment.
customers and educate them about various features of a Participative vigilance is the equivalent of the mythical Eye
cheque so that they can ascertain the genuineness of the of Providence or the all-seeing eye of the god in the Christian
cheques themselves while accepting cheques from others mythology. In this approach every person becomes the eyes
and prevent the fraud from happening in the first place. All and ears of the organisation which potentially creates an
such instances demonstrate the power of Participative impregnable system in which even the shortcomings of
Vigilance in preventing frauds and lapses from happening systems and procedures can be resolved by constant
and ensuring a safe business environment. vigilance. This need for constant vigilance can be succinctly
explained by the timeless adage used by Indian Traffic Police
There exists an active Whistleblower policy in place in most "Vigilance wavers, Disaster strikes”.
organisations. This policy aims to provide a platform where
any employee can report any irregularity with the References:
assurance that his anonymity will be maintained. This Policy Y Kautilya. Ethics of Chanakya. Sahni Publications, 2000.
intends to encourage all the employees of the organisation Y "Corruption Perception Index 2019". Transparency.Org,
to report suspected or actual occurrence of illegal, unethical 2019, https://www.transparency.org/.
or inappropriate happening in the workplace. The Y Dickens, Charles. The Life & Adventures of Nicholas
employees can voice their concerns on irregularities, Nickleby. H. Milford, Oxford University Press, 1902. T

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