There are several studies in the field of Stress management suggests that Stress is supposed to be very high among prison population. This is an attempt at reviewing the stress and the psychiatric problems associated with it in general, using Prison environment as the context of the paper. Aim: This paper tries to study the effects that prison environment has on its occupants, mainly focusing on inmates of the prison. Objective: To study various seminal literatures on Prison environment across the world and to find a common ground among them Design/Method/Approach: The paper is mainly theoretical in perspective using various literatures from prison environment as its context. Hence we have used literature survey method as our preferred research methodology. Results and Findings: From the reviews of diverse literature on the field of correctional facilities suggests that prison environment does plays a significant role in the development of stress and psychiatric problems among prison inmates. This is further discussed in the concluding part of this paper. © 2015, Mediterranean Center of Social and Educational Research. All rights reserved.