NU Online News Service, Nov. 3, 2003, 5:53 p.m. EST – Marsh & McLennan Companies Inc., New York, has replaced Lawrence Lasser as president and chief executive officer of its Putnam Investments L.L.C. subsidiary.
The move follows recent allegations by the Securities and Exchange Commission and by Massachusetts officials that Putnam permitted illegal market-timed trading by some of its investment managers.
Lasser has been replaced by Charles Haldeman, senior managing director and co-head of investments at Putnam. Haldeman's investment responsibilities will continue, Marsh says.
Steven Spiegel, who had been senior managing director and chief of global distribution for Putnam, was appointed to the new position of vice chairman of the unit.
Marsh also recalled a former chairman and CEO, A.J.C. Smith, to serve as chairman of Putnam, another newly created position.
Lasser had been the subsidiary's president and chief executive officer since 1986 and a Marsh director since 1987.
Marsh also appointed Barry Barbash, a partner at the law firm of Shearman & Sterling L.L.P., New York, and former director of the Securities and Exchange Commission's division of investment management, to conduct an independent review of Putnam's policies and procedures "to assure that the company operates in accordance with the highest professional and ethical standards," Marsh says.
Barbash will report directly to Marsh Chairman Jeffrey Greenberg.
"We have previously stated that Putnam will make complete restitution to the Putnam funds for any losses suffered by Putnam shareholders as a result of any improper market-timing activities," Greenberg says.
