Is it permissible to collectively recite the Quran and some Prophetic eulogies at a banquet to divert attendees from idle talk and gossip?

It is permissible for guests at a banquet to converse among themselves, so long as the conversation does not involve backbiting or anything forbidden. If you wish to engage people with something better, then if they respond to gathering around you and listening to the Qur'an, this is a great circle of knowledge and remembrance. However, if they are engrossed in idle chatter, it is not appropriate to recite the Qur'an aloud, out of fear of disrespecting it. It is permissible to recite beneficial poems that are free from any prohibitions.