Joseph Sanberg Pleads Guilty in Clippers-Related Fraud Case
Joseph Sanberg, co-founder of Aspiration, a company involved in a scandal with the LA Clippers of the NBA, formally pleaded guilty to two counts of wire fraud in a federal court in Los Angeles on Monday. Each charge carries a maximum penalty of 20 years in prison. Sentencing is scheduled for February 23, 2026 at 11 a.m. PST in the United States District Court for the Central District of California in Los Angeles. The hearing on Monday was a formality, as Sanberg had previously agreed to plead guilty to his involvement in a scheme that defrauded investors of $248 million. During the hearing on the tenth floor of the courthouse, Sanberg’s lawyer, Marc Mukasey, stated that Sanberg committed the crimes because “he loved (Aspiration) and wanted it to do well.” Mukasey added: “Mr. Sanberg was working to achieve a thriving and successful company… We agree that he crossed the line.” The Clippers and Aspiration, a green banking company that declared bankruptcy this year, announced in September 2021 a 300 million dollar, 23-year sponsorship deal with the team, which included signage at the Clippers’ new arena in Inglewood, California, and a jersey patch component. Four months later, Aspiration signed a separate 28 million dollar sponsorship deal with Clippers star Kawhi Leonard. The NBA is investigating whether the Clippers and their owner, Steve Ballmer, violated league rules by circumventing the salary cap to compensate Leonard. In September 2021, the same month the Clippers announced their agreement with Aspiration, Ballmer invested $50 million in the California-based company. After Monday’s hearing, Sanberg declined to comment to reporters and referred questions to his attorney, who declined to answer a question about whether Sanberg conspired with Ballmer to circumvent NBA salary cap rules through Leonard’s sponsorship deal.Mukasey did not answer a follow-up question about whether Sanberg would cooperate with the NBA investigation.We are not going to comment on that at this time. We are pleased that we have gotten through today’s proceedings and that Joe has taken responsibility for what he is charged with. Other matters may develop in the future. We’ll see.
Marc Mukasey
