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ABSTRACT
The last decade has seen many positive developments in the Indian Banking sector. The policy makers, which comprise the Reserve Bank of India, Ministry ofFinance and related government and financial sector regulatory entities have madeseveral notable efforts to improve regulation in the sector. However, apart from this, the sector could not keep itself free from the global trends and its effects. Due to globalization effects have been observed in form of financial crisis and their consecutive effects on all the economies. In globalization no country untouched from the consequences of the crisis. The sources of the crisis may be limited to some developed economies, but developing economies are not also free from having potential risks in this regard, though in slightly different form and of a varieddegree.
This paper attempts to study the legal requirement comply by the two leading private sector banks (ICICI&HDFC) according to various laws. This study will give insight in to the corporate governance disclosure practice followed by both the bank which is require to be understood by stakeholder as well as shareholder to measures the overall efficiency of the organization.
Keywords: Corporate Governance, Private Sector Banks, ICICI, HDFC..
INTRODUCTION
Modern day business has always suffered from dilemma of the sole goal of profit maximization or other goals like personal interests of managers. Values & ethics are losing its existence in run for profit. So, good corporate governance practices are necessary to focus the board's attention towards rules, regulations, laws, policies, ethics, social responsibility etc. Good Corporate Governance encompasses all actions aimed at providing its citizens good quality of life. It relates with a code of conduct, which the management of a company observes while exercising its power. In this context, the Indian Banking sector has a special role to play, not because of the critical nature of the business, but because it is a sector that has large public ownership. The data contained in the Corporate Governance Report of the banks are results of the combined effect of Clause 49 of Listing Agreement of SEBI, Accounting Standards and conventions, Companies Act 1956, Banking Regulation Act 1949 and Companies Philosophy & code of conduct. Corporate Governance is dealing with commitment to values and ethical business conduct. It helps in...