Creative Commons

This dissertation was written as part of the MSc in EMBA Program at the International Hellenic University. Corporate governance is inextricably linked to proper functioning and profitability of the banks, and i s nowadays regulated by a continuously accelerating legal and compliance framework which determines the relationships of bank’s management, its board, its shareholders and its stakeholders. As a result, compliance function evolved in a key element of corporate governance, delegat ed with the difficult task of ensuring compliance with the current excessive legislation. In the light of the above by means of quantitative methods we investigate and establish the relationship between compliance function - as a key element of sound corp orate governance - and profitability in banks. We used a questionnaire to measure the perception of compliance function among high - ranking executives and compliance officers as well. The results obtained from the relevant research suggest that compliance f unction is linked with profitability of banks. Specific implications and recommendations were presented and discussed . Upon completion of this thesis, I would like to take the opportunity to express my gratitude to those who have supported and assisted m e throughout the process. In particular, I express my deep appreciation to Ms. Kyrgidou for her assistance, guidance and support. I would also to thank Mr. Leven t is and the IHU ’s administrative and academic staff for their understanding and supporting in the ex ceptional circumstances that I faced. I would like to especially thank my employer for providing me with this opportunity. More importantly I dedicate this thesis to my family and my mother who at all times really supported and acknowledged my effor ts in continuous education , but unfortunately passed away two years ago, in the same day that I began this journey in knowledge with IHU .