Enron Director Winokur To Step Down From Harvard Corporation

Herbert S. “Pug” Winokur ’64-’65—who was a director of Enron throughout its catastrophic collapse—announced his resignation Friday from the Harvard Corporation, effective at the end of June.

In a letter to University President Lawrence H. Summers released by the University, Winokur said he was concerned that his role with Enron was “diverting attention from your agenda for Harvard and from the important work of the Corporation and the University.”

The announcement comes as the Board of Overseers prepares to meet Sunday morning to rubber stamp the Corporation’s designated replacement for member Robert G. Stone Jr. ’45, who announced last December that he would retire at the end of the academic year.

Summers’ close personal friend and mentor Robert E. Rubin ’60 is said to be among those that were considered for the post. Rubin could not be reached for comment this evening.

The seven-member Harvard Corporation is the University’s chief governing board.

The announcement of Winokur’s resignation came without warning, at a moment when campus criticism of Winokur’s place on the Corporation had subsided.

A University official said Winokur and the rest of the Corporation had discussed Winokur’s Enron involvement on several occasions, and it became clear that Winokur would probably step down by the end of the year.

The official added that ultimately the Corporation members wanted to avoid the impression that they had forced Winokur to resign.

“The feeling was that he should not resign in the middle of [the controversy] when charges were really flying around,” the official said. “They didn’t want it to look like Harvard was deserting Winokur.”

Summers praised Winokur’s commitment to Harvard during his nearly two years on the Corporation.

“Pug Winokur has been an energetic and insightful member of the Harvard Corporation, and I am saddened by the circumstances that have prompted his decision to step down,” Summers said in a statement released Friday. “He has served Harvard with devotion and intelligence, and we owe him our gratitude for his valuable contributions to the governance of the University.”

While Summers has previously declined to comment on Winokur’s situation, he has said that serving on the Corporation requires a significant contribution of time and attention.

“It would certainly be true of any Corporation member that if they weren’t able to make the appropriate time commitment to the Corporation it wouldn’t be possible for them to serve on the Corporation,” Summers said in a February interview.

Winokur was called before the House Committee on Energy and Commerce in early February to testify about his role as an Enron director during the company’s sketchy business dealings and subsequent collapse. He also testified regarding his participation in the company’s special committee for internal investigation formed after Enron’s collapse.

Winokur’s participation on this investigative committee drew the fire of members of Congress.

“Mr. Winokur is essentially investigating his own actions and approving or disapproving the resulting report,” Rep. John D. Dingell (D-Mich.) and Rep. Peter Deutsch (D-Fla.) wrote in a February letter.

“You can understand why disinterested observers might conclude that the report’s independence, or at least the appearance of independence, has been compromised,” their letter said.

Students who led efforts to oust Winokur from his Harvard position welcomed Friday’s announcement.

“We’re happy that Harvard University has taken a first step in distancing itself from the Enron fallout,” said Arin Dube, a member of HarvardWatch, a student organization that released a report in February calling for Winokur’s resignation.

“I think that it’s hopefully a step toward a more accountable Harvard Corporation overall,” said Benjamin L. McKean ’02, who is also a member of HarvardWatch.

McKean said that he hoped for an open search for Winokur’s replacement.

“His resignation will hopefully lead the way to an inclusive search process that doesn’t just include Corporation members but also includes students and faculty members,” he said.

According to the press release, the search for Winokur’s successor “will begin soon.”

Corporation members—including Winokur—could not be reached for comment this evening.

—Joseph P. Flood and Elisabeth S. Theodore contributed to the reporting of this story.

—Staff writer David H. Gellis can be reached at gellis@fas.harvard.edu.

—Staff writer Catherine E. Shoichet can be reached at shoichet@fas.harvard.edu.