Abstract
Companies do have ethical responsibility and are not protected by limited liability from the consequences of their actions. A company's record and the preception of its ethics affect its reputation and ensure long term success or failure.
The financial community has a history of placing moral considerations above legal or opportunistic expedients. But we are often exposed to moral dangers and the dangers of contamination are increasing. Deregulation and the technological revolution are sharpening ethical conflicts.
Bankers' role is one of stewardship based on trust. We are trusted by those who ask us to look after their money and we have a duty to lend that money responsibly.
Banking is about rewards reflecting real risks and ethical considerations form an important part of our risk-taking activities. The welfare of our borrowing customers, in good times and bad, is of major concern in any business proposition. Sometimes commercial considerations can be at odds where ethics and politics combine, for example, on the LDC debt question.
We depend on people to run our business and to reflect our ethical standards. We have to let our people know what is expected of them and help them to avoid pressures and temptations.
A bank's responsibility extends to Government, customers, shareholders, staff and the community. In the future, as we face increasingly complex and conflicting issues, our resolve and commitment to ethical behaviour will be tested.
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Mr Charles F Green, 58, was a Deputy Group Chief Executive of National Westminster Bank since 1 December 1986 and a Director since February 1982. Exercised oversight of UK Financial Services and Support Services, as well as shared in the Chief Executive's representational Sole.
In July 1989, Mr. Green resigned from the National Westminster Bank.
His outside commitments are largely Church based. Since 1980 a member of the Church of England General Synod, he is currently Vice Chairman of the Church's Board for Social Responsibility and is Chairman of its Industrial and Economic Affairs Committee and a Trustee of the Church Urban Fund.
He is also Chairman of the Executive Committee of Business in the Community, Chairman of the CBI Overseas Committee and Treasurer of the Policy Studies Institute.
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Green, C.F. Business ethics in banking. J Bus Ethics 8, 631–634 (1989). https://doi.org/10.1007/BF00383031
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DOI: https://doi.org/10.1007/BF00383031