The NBA has fined the Los Angeles Clippers $30 million and removed five first-round draft picks as punishment for violating salary cap rules related to Kawhi Leonard’s endorsement deals. The league’s investigation, conducted by Wachtell, Lipton, Rosen & Katz over the course of a year, found a pattern of misconduct and multiple rule violations by the Clippers organization. The issue centered on the team introducing Leonard to club sponsors for off-court income opportunities and offering business deals as inducements. Companies involved included Boingo Wireless, Daktronics, Lockton Insurance, and Aspiration Partners, a now-defunct financial technology firm that went bankrupt last year. Aspiration had signed Leonard to a $28 million endorsement deal and was also involved in a 23-year, $300 million sponsorship agreement with the Clippers.
The Clippers must forfeit one first-round pick in each of the 2029 through 2033 drafts as part of the penalty, according to AOL. Leonard himself was fined $700,000 by the league for his role in the situation. Owner Steve Ballmer received a one-year suspension from all league and team activities for knowingly helping Leonard obtain off-court income opportunities, according to a report from the Chicago Tribune. Ballmer was also cited for failing to ensure the Clippers followed the NBA’s salary cap rules. Gillian Zucker, president of business operations, was suspended without pay for one year due to her direct involvement in the endorsement arrangements. Lawrence Frank, president of basketball operations, was suspended without pay for six months for his role in approving improper expenses related to Leonard and his family.
The Clippers have been placed under a compliance and monitoring program overseen by the league for five years. Leonard’s uncle and former business manager, Dennis Robertson, was banned from working with any NBA team or affiliate for five years. The investigation was sparked by allegations made by former ESPN reporter Pablo Torre in 2025.
Leonard avoided suspension or having his contract voided, which allowed the trade to the Toronto Raptors to proceed. The Toronto Raptors had agreed to trade Leonard to the Clippers on June 30, but the deal was paused pending the league’s investigation.
Leonard issued a statement through his new agent, expressing integrity and respect for the game, and accepting responsibility for lapses in judgment by those around him, mynewsla.com reported. He said he had given everything to his family, the game, and teammates over the past 15 years and was focused on moving forward.
Commissioner Silver expressed disappointment in the Clippers’ leadership failures and said the NBA’s compensation system is vital to the league. The NBA Players Association confirmed that the penalties are final and binding.
The league noted that the Clippers failed to report improper solicitations made on Leonard’s behalf by Robertson. Leonard said he entered into his contract and related agreements in good faith and without knowledge of any salary cap violations.
The Clippers have publicly disputed the league’s findings, calling the investigation biased and claiming they cooperated fully. The Clippers also said the information shared privately with them differed from what was made public. They added that they will continue to fight for their innocence and defend their actions.
Leonard is a two-time NBA Finals MVP who has made the All-Defensive Team seven times in his career. He averaged 6 assists in 65 games last season for the Clippers, who finished ninth in the Western Conference and lost their play-in game to Golden State.
The Clippers are now under a long-term compliance program with the league as part of the penalties for their actions.
IMAGE: The Clippers hosting the San Antonio Spurs in Game 5 of the 2015 NBA playoffs first-round series Amin Eshaiker – Own work CC BY-SA 3.0