Former news anchor Dan Rather slapped CBS with a $70 million suit on Wednesday claiming the network took advantage of him and made him a "scapegoat" for a discredited report about U.S. President George W. Bush's National Guard service.

According to the suit filed in New York State Supreme Court in Manhattan, the network tried to "pacify the White House" over an unsubstantiated report that contended Bush received preferential treatment in the Guard during the Vietnam War.

"Central to defendants' plan to pacify the White House was to offer Mr. Rather as the public face of the story, and as a scapegoat for CBS management's bungling of the entire episode," the lawsuit said.

Rather, 75, says he was forced to step down from his high-profile position as CBS Evening News anchor while his appearances on the network's highly rated "60 Minutes" were a lot fewer than those of other correspondents.

In response to the lawsuit, firstly reported by New York Times, CBS spokesman Dana McClintock said "These complaints are old news, and this lawsuit is without merit."

The suit, which also names CBS chief executive Leslie Moonves, Viacom chairman Sumner Redstone, and former CBS News president Andrew Heyward, also alleges that CBS committed fraud by commissioning a "biased" and incomplete investigation of the flawed Guard broadcast and, in the process, "seriously damaged his reputation."

Apparently, he was prohibited to apologize publicly for the incident because CBS made several promises to him, which he says never materialized, in exchange for his silence.

The suit seeks $20 million in compensatory damages and $50 million in punitive damages. According to employment attorney E. Christopher Murray, the former news anchor might stand a chance if he can prove the network deliberately marginalized him.

The National Guard news was reported by Rather in September 2004 and claimed Bush tried to make use of his father's connections during his service and that a commander felt pressured to sugarcoat Bush's record.

However, an independent panel conducted and investigation that concluded the report was neither fair nor accurate and CBS News fired the producer of the segment and three other employees.

Rather, who had worked for CBS since 1962, left the network in June 2006, about five months before his contract was set to expire, after complaining that he was being squeezed out of the network. He has since signed on with a satellite network that broadcasts only in HDTV and has his own hour long news program "Dan Rather Reports."