Marsh McLennan (MMC) is a multinational insurance broker that, at its peak in 2004, had 43,000 employees at offices around the world. \({ }^{107} \mathrm{MMC}\) 's revenues were \(\$ 2\) billion more than its closest competitor, Aon Corporation. \({ }^{108} \mathrm{MMC}\) is actually a conglomerate that consists of Marsh, its risk and insurance division; Putnam Investments, a mutual fund and investment management company; and Mercer, Inc., a human resources consulting company.

Following a series of earnings restatements in the 2001 through 2003 period, MMC was hit with additional Securities and Exchange Commission (SEC) investigations on its Putnam Investments, resulting in suits by Putnam's mutual fund customers, and fines paid to the SEC to settle allegations with that agency. The suits by the mutual fund holders were settled with payouts. In 2003, Putnam was the first of the mutual fund companies charged with showing favoritism to certain customers by allowing them to buy and sell shares at the expense of lesser customers in order to retain the greater customers (larger investors). \({ }^{109}\)
Running parallel to the restatements and the mutual fund issues were problems at Mercer. Mercer settled charges related to conflicts of interest that had arisen in trying to retain clients by not making disclosures about its relationships. Also, Mercer was involved with former New York Stock Exchange (NYSE) Chairman Richard Grasso's compensation package, an issue that would later cause Mr. Grasso to lose his position for the failure to disclose the full extent of his compensation, something Mercer was fully aware of but did not discuss with NYSE board members. \({ }^{110}\)...............

Discussion Questions
1. What cultural issues do you see that affected decisions at MMC?
2. Whose interests were served by the pay-to-play cartel?
3. What thoughts does this case offer for your credo?