Investment Banker McDaniel Says He’s Candidate for NBA Union Job

Reuben R. McDaniel III, an investment banker and chairman of the Atlanta Public Schools board, is among those being considered to succeed Billy Hunter as executive director of the NBA players union.

The 52-year-old McDaniel said yesterday he has been screened by an executive at Reilly Partners, the Chicago-based executive search firm hired by the National Basketball Players Association to find Hunter’s successor.

“I’m certainly interested in the opportunity, but it’s very early in the process,” McDaniel said in a telephone interview.

He joins former Morgan Stanley (MS) Executive Director Riche T. McKnight as known candidates to fill the vacancy left when player representatives from 24 of the 30 National Basketball Association teams voted unanimously in February to fire Hunter from the $3 million-a-year job amid allegations of nepotism and abuse of union resources.

Ron Klempner, the union’s acting executive director, said in an e-mail that the selection process is under way and declined further comment.

McDaniel is the chief executive officer of RM Capital Management. He previously was CEO of Jackson Securities, the minority-owned investment bank founded in 1987 by the late Maynard Jackson, a former mayor of Atlanta.

The company was bought last year by M.R. Beal & Co. from Atlanta Life Financial Group, a 108-year-old black-owned insurance and asset-management firm.

Revenue Growth

Under McDaniel’s leadership, Jackson Securities has produced double-digit revenue growth and diversified revenue streams by establishing a corporate finance group, wealth management group and institutional sales and trading group, according to his Atlanta Public Schools bio page.

McDaniel got his undergraduate degree in mathematics and economics from the University of North Carolina at Charlotte and a master’s degree in business administration from the University of Texas, according to the bio.

Hunter’s dismissal after a 16-year tenure ended almost a year of speculation about his future with the players association, punctuated by the results of an audit of the union conducted by New York-based law firm Paul Weiss Rifkind Wharton & Garrison. The review concluded that, while Hunter did nothing illegal, he failed to manage conflicts of interest, lacked proper corporate governance and didn’t disclose that his contract wasn’t properly ratified.

The union hasn’t given a timetable to choose Hunter’s replacement.

To contact the reporter on this story: Scott Soshnick in New York at ssoshnick@bloomberg.net

To contact the editor responsible for this story: Michael Sillup at msillup@bloomberg.net

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