Steve Ballmer Requests NBA Investigation After Allegations Against the Clippers
Los Angeles Clippers owner Steve Ballmer has expressed his desire for the NBA to investigate allegations of potential salary cap circumvention. These accusations arose following a podcast where it was suggested that the team may have violated the rules. Ballmer, in his first interview since the accusations were made public, emphasized the importance of the league taking seriously any suspicion of non-compliance with financial regulations. The NBA has announced that it will launch an investigation to determine whether the Clippers, and possibly Ballmer himself, violated league rules related to a $28 million sponsorship deal that Kawhi Leonard accepted from Aspiration, a banking company now in bankruptcy in which Ballmer had invested.Ballmer clarified that Aspiration asked him to introduce the company to Leonard, but denied having knowledge of the sponsorship contract that was ultimately signed, or that he directed the company to do so. The presentation occurred in November 2021, three months after the Clippers agreed to a four-year, $173 million extension with Leonard. Two months earlier, in September 2021, the Clippers announced a $300 million partnership with Aspiration, which included sponsorship in the team’s new arena and on the jersey patch. Ballmer added that Aspiration had also wanted the arena naming rights, even offering more than Intuit, which was ultimately selected. Ballmer explained that the introduction took place at the beginning of November. He added that he has been reviewing his interaction with the company as part of his cooperation and that of the team with a Department of Justice investigation into Aspiration. Last month, co-founder Joe Sanberg pleaded guilty to two counts of wire fraud for defrauding investors and lenders of more than $248 million. Ballmer said he felt “ashamed” for not detecting the company’s problems, as he mainly reviewed fraudulent financial statements. “These were guys who committed fraud. They scammed me. I made an investment in these guys thinking they were honest, and they scammed me at this stage,” he added. Ballmer’s initial investment in Aspiration was $50 million, representing less than 3% ownership. He stated that he had no control over the company nor was he part of the board of directors. This situation adds to a series of accusations about Leonard’s dealings with the Clippers. The NBA investigated the team after accusations that Leonard and his entourage, led by his uncle Dennis Robertson, made inappropriate requests to other teams during his free agency in the summer of 2019. The league exonerated the Clippers of any wrongdoing, but said it would reopen the investigation if new information emerged. The league also investigated the pursuit of Leonard as a free agent after a December 2020 lawsuit filed by Johnny Wilkes, who alleged that he helped the team acquire Leonard in exchange for a $2.5 million payment from Clippers consultant Jerry West. The Clippers denied the allegations and the lawsuit was dismissed, with no sanctions imposed by the league. When asked if Robertson had requested additional benefits that did not comply with league rules, Ballmer responded that both Leonard and his representatives knew and understood the rules, and that they always made sure to comply with them. As for why there have been so many accusations about Leonard in the six years he has played for the franchise, Ballmer suggested that Leonard’s lack of public communication can generate mystery and speculation. Ballmer concluded by stating that, despite the accusations, the relationship with Leonard has been good and that they have always acted correctly in all their interactions.“Salary cap evasion rules are important to the league, and I want the league to investigate,” Ballmer stated.
Steve Ballmer
