NU Online News Service, May 23, 4:40 p.m. EDT--The chief executive of Marsh & McLennan said his predecessor Jeffrey Greenberg and other top managers were ousted from the company because they had responsibility not participation in the contingency fee abuses that enveloped the brokerage.

Michael G. Cherkasky, chief executive officer and president of New York-based MMC, speaking at the company's shareholders meeting last week, said that the removal of a number of management personnel, including Mr. Greenberg, occurred because the board of directors held them responsible.

"We have made changes out of necessity and out of requirement," Mr. Cherkasky told shareholders, referring to what the company has gone through since New York Attorney General Eliot Spitzer filed suit against MMC in October 2004 accusing the company of rigging bids with insurers who paid off with hidden incentive fees.

He said a few managers were removed from the company because they were culpable, but others needed to be held responsible because the allegations of kickbacks and steering of accounts at its insurance brokerage subsidiary, Marsh, occurred on their watch.

The standard for working at Marsh is not complying with criminal law, said Mr. Cherkasky. "It should never be. That is much too low a standard. The standard for us is to have people who will hit our high standard, and we will hold people accountable."

Along with Mr. Greenberg, Mr. Cherkasky named the company's chief counsel, William L. Rosoff, senior vice president and general counsel at the time, as those being held responsible for what happened.

Mr. Rosoff resigned his position with MMC on the same day that it was announced that Roger E. Egan, president and chief operating officer of Marsh, and Christopher M. Treanor, Marsh's chairman and chief executive officer of Global Placement, were asked to step down.

Mr. Cherkasky indicated in his remarks that a chain of managers were released from the company in the wake of the scandal.

As part of the agreement, MMC agreed it would no longer accept contingent commissions, which accounted for more than $800 million of its revenues in 2003. Mr. Cherkasky said the decline in revenue has resulted in more than 5,000 layoffs.

However, he pointed to a positive future for MMC, stating, "This was a company built to withstand a hurricane," adding that he felt the company had passed that test.

"I'm not going to apologize anymore," he added, referencing his public statements of apology for the conduct of some in the company. "It is time to move forward."

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