Marsh to Pay $850 Mln in Bid-Rigging Case By Jonathan Stempel NEW YORK (Reuters) - Marsh & McLennan Cos. (MMC.N: Quote , Profile , Research ) on Monday agreed to pay $850 million to settle charges it conspired with insurers to rig bids, raising hopes the world's biggest insurance broker can start to move past the scandal. The settlement sent Marsh shares up as much as 4.5 percent. It ends a battle with New York Attorney General Eliot Spitzer, who accused Marsh in an Oct. 14 complaint of colluding with American International Group Inc. (AIG.N: Quote , Profile , Research ) and other insurers to fix prices. Chief Executive Michael Cherkasky has been overhauling Marsh's brokerage practices and corporate governance in a bid to retain clients. Spitzer said Marsh would apologize for its "unlawful" and "shameful" conduct. "This is a palatable settlement, and indicates that Michael Cherkasky must have taken several bitter pills to satisfy Spitzer's office," said Amy Domini, chief executive of Domini Social Investments in New York, whose $2 billion of assets include Marsh shares. "They have committed to greater transparency, and that is exactly what needs to happen." Marsh will fully disclose all compensation to clients and charge only one fee or commission when arranging a policy. "This story culminates a dark period in the company's history," Cherkasky said on a conference call. Marsh neither admitted nor denied wrongdoing. But Cherkasky said the company was nevertheless "ashamed" about the conduct of "a few" employees. He said talks are ongoing with other state regulators and that while shareholder class-action lawsuits "are not going to go away overnight," the settlement with Spitzer might provide "a measure of closure" on litigation. Marsh shares were up $1.33, or 4.3 percent, at $32.42 in afternoon trading on the New York Stock Exchange after earlier rising to $32.50. The shares closed at $46.13 the day before Spitzer filed his complaint. "CLEAN BREAK," SPITZER SAYS In the settlement with Spitzer's office and New York's insurance department, Marsh will put the $850 million in a fund to compensate U.S. clients who hired it to place insurance from 2001 to 2004. The clients need not show harm to recover.     Continued ... Quelle "Marsh to Pay $850 Mln in Bid-Rigging Case" : reuters.com Main page for "Marsh to Pay $850 Mln in Bid-Rigging Case"