A Study of Ethical Issues in Public Banks (With Reference to Jaipur)

Banking and Financial institutions are such a crucial part of the entire world economy. Like any other type of business, banking rests on relations with clients, employees, business partners and state. Ethical judgment stir confidence in the public and help develop better reputation for a bank, maintain good relation with the customers and it can be much contributory to the impressive achievements of goals. As bank operate in a broad environment and unrestricted entry into the banks making it difficult to enforce ethics. This article highlights ethical issues arising different areas in banking sector and addresses the requirement of ethical norms and sound ethical code in the banking industry. A well structured questionnaire was prepared and distributed among 60 respondents of different public bank. Percentage, Chi-Square test were used for data analysis. Results indicate that there are many unethical actions identified by the maximum respondents such as influencing the customers to divert the loans for other purpose, delay in sanctioning loans, ignoring bank guidelines, try to know customer secrets and many more.