The 69-year-old actor, who became a United Nations Messenger of Peace in 1998, was honoured with the award on January 14 at the 2014 UNICEF Ball, held in LA, reported Variety.
Douglas's 'Behind the Candelabra' co-star Matt Damon and producer Jerry Weintraub, who served as the event hosts, began the evening on a light-hearted note.
When it came time to present Douglas with his prize, Damon joked, "And now, the moment we've all been waiting for - the moment where we give Michael Douglas another award."
Danny, who was a American actor, became the first ambassador-at-large of UNICEF in 1954.
"Danny was the first person (in whom) I recognised the power of celebrity and how it could be used for good in the world. He was beloved by all children of all ages. He was the perfect match for UNICEF," Douglas said.
Damon was then surprised by Douglas, who presented him with a Danny Kaye Humanitarian Award for his efforts to combat the global water crisis.
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