> > Help! I've defeated Murkon and been back to town but nothing happens. I've got the diadem (necklace half) after defeating Murkon (leviathan).......
> > What haven't I done properly? I dropped all unneccary items include the stones and some of the keys............
>
> Oddly enough, when you get to Murkon, he'll be called "Murkon", and the item you find will be called the "King's Diadem". When you find him, you'll know it. Your first trip back to town after beating Murkon will likely be to resurrect your entire party. Bring lots of cash. Teralt is expensive this time of year.
>
> Also, it doesn't matter what else you bring back to town, as long as you've got the Diadem. My first party retired with no end of cool stuff.

So did mine. Dang, I hate the fact that they've been forced to retire. My second party would be laughing their way to the bank if they got their hands on that stuff. But alas, now they cannot.