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SG500 configuration for PPPoE

Newbie question.  We set up a network a few months ago in our new office with an SG500-28P as the central piece of connecting NW equipment, to which we attached VoIP phones, PCs and printers.  Also attached was a wireless AP, and 2 modems connected to the internet to different providers. 

Right now, one of the twa ADSL modems is having issues.  It gets its DNS address changed to some weird IP out of the blue, and it breaks the internet access to people configured to use *it* as default GW.  In my troubleshooting, I was wondering if it was possible to put that modem in BRIDGE mode, and configure the Cisco to do the PPPoE. 

It's just an idea since the modem would not be vulnerable to attacks if it was in BRIDGE mode, but I suppose I would then no longer have it's NAT feature to protect me from the internet...

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