Clippers in the Eye of the Storm: Did They Try to Evade the Salary Cap with Kawhi Leonard?
The Los Angeles Clippers and their owner, Steve Ballmer, are being investigated by the NBA after being accused of evading the salary cap. The controversy involves payments of $28 million to Kawhi Leonard, allegedly for a “phantom job”.
The information, which has caused a great stir in the basketball world, comes from an investigation that points to suspicious financial movements related to a bankrupt company owned by Ballmer.
NBA spokesman Mike Bass confirmed that the league is aware of the allegations and has launched an investigation.
According to reports, payments to Leonard were made through the company Aspiration, which received a $50 million investment from Ballmer.
In September 2021, the Clippers announced a sponsorship deal with Aspiration for $300 million, including advertising in the stadium and on the team’s jersey.
In April 2022, Leonard signed a $28 million sponsorship deal with KL2 Aspire, his own company, nine months after signing a $176.3 million contract with the Clippers.
A supposedly obtained document reveals that the agreement between Aspiration and KL2 Aspire would be voided if Leonard left the Clippers. Furthermore, Leonard could refuse any activity requested by Aspiration and continue to be paid.
An Aspiration employee stated that the payment to Leonard was aimed at circumventing the salary cap.
Anonymous Aspiration Employee
Kawhi Leonard acordó un contrato de patrocinio por 28 millones de dólares con Aspire en abril de 2022, nueve meses después de firmar un contrato de 176.3 millones de dólares con los Clippers.The Clippers, in a statement, denied having evaded the salary cap. They stated that the relationship with Aspiration ended in the 2022-23 season and that neither Ballmer nor the team had knowledge of any improper activity by the company.
Aspiration declared bankruptcy in March 2025 and is being investigated for fraud. Its co-founder pleaded guilty to two counts of wire fraud for defrauding investors and lenders of more than $248 million.
The 2023 NBA collective bargaining agreement establishes penalties for evading the salary cap, including fines of up to $7.5 million, loss of draft picks, nullification of player contracts, and suspension for team personnel.
In a second statement, the Clippers reiterated that the idea that Ballmer used Aspiration to divert money to Leonard is “absurd” and that they had no control over the player’s sponsorship deal.
The franchise assured that it respects the NBA rules and will welcome the investigation.
This is not the first time the Clippers have been involved in controversies. In 2019, the NBA fined the team for violating tampering rules and for comments about Leonard’s health. Allegations about undue solicitations during Leonard’s free agency in 2019 were also investigated, and a December 2020 lawsuit related to Leonard’s acquisition.
Kawhi Leonard, 34, signed a three-year, $153 million contract in January 2024, which will keep him with the Clippers through the 2026-27 season.
The Clippers are also facing a 2024 lawsuit from former strength and conditioning coach Randy Shelton, who alleges wrongful termination for expressing concerns about the handling of Leonard’s health and injuries.