Morgan Stanley said Wednesday it would eliminate events for entertaining clients that had been scheduled to run in conjunction with a professional golf tournament it sponsors in June.

Morgan Stanley's announcement comes a day after protests erupted in Congress over parties and concerts hosted by Northern Trust Corp. at a golf tournament it sponsored last week. Other banks that received bailout funds from the government have also come under fire for spending money on lavish events.

Morgan Stanley, which received $10 billion in bailout funds, will still be the main sponsor for the Memorial Tournament but will have little other presence at the tournament. It is the ninth year the bank has sponsored the tournament, which takes places in Dublin, Ohio.

The bank declined to provide details about the canceled events. Asked why the cancellations occurred, spokeswoman Mary Claire Delaney said: "We are not participating this year due to the environment."

Morgan Stanley changed its status to a bank holding company last fall, amid the mushrooming credit crisis, as investors worried the stand-alone investment bank model would not survive. Two other investment banks had toppled in September, when Lehman Brothers filed for bankruptcy and Merrill Lynch arranged a sale to Bank of America Corp.

Northern Trust, which received $1.6 billion as part of the government's bank rescue program, had hosted events throughout the week as it sponsored the PGA Tour's event in Los Angeles - the Northern Trust Open played at Riviera Country Club.

Northern Trust, a Chicago- based bank, said it did not use any government funds for the events.

Two other banks that received government funds are title sponsors of PGA tournaments later in the year - Wachovia Corp., which is now owned by Wells Fargo & Co., and U.S. Bancorp. Wells Fargo received $25 billion as part of the program, while U.S. Bancorp received about $6.6 billion.