The National Basketball Association (NBA) has fined the Los Angeles Clippers $30 million and stripped the franchise of five first-round draft picks for violating salary cap circumvention rules involving star forward Kawhi Leonard, who has been fined $700,000, the league announced on Wednesday.
The NBA's investigation, conducted independently over the course of a year, found a pattern of misconduct and multiple significant rules violations by the Clippers organization, which was previously penalized for similar infractions. The core issue involved the team introducing Leonard to club sponsors for off-court income opportunities and endorsement deals, offering companies business from the team as inducements, and paying personal expenses for Leonard and his representatives.
The businesses identified included Boingo Wireless, Daktronics, Lockton Insurance, and Aspiration Partners, a financial technology firm that went bankrupt last year. Aspiration allegedly signed Leonard to a $28 million endorsement deal and had a 23-year, $300 million sponsorship agreement with the Clippers.
The Clippers must forfeit a first-round pick in each draft from 2029 to 2033. Owner Steve Ballmer was suspended for one year from all league and team activities for knowingly seeking to help Leonard obtain off-court income and approving a business deal that was a precondition for Aspiration's endorsement agreement. Team president Gillian Zucker was suspended without pay for a year for being primarily culpable and providing false statements to investigators. Basketball operations president Lawrence Frank received a six-month suspension without pay.
The Clippers vehemently rejected the NBA's findings, calling the investigation biased and based on a predetermined narrative. The team vowed to challenge the penalties through arbitration. Leonard, through his new agent, stated he had no knowledge of any intent to circumvent the salary cap, accepted responsibility for lapses in judgment by his inner circle, and expressed regret for the distraction.
Leonard's uncle and former business manager, Dennis Robertson, was banned from the NBA for five years. The Toronto Raptors, who lost Leonard to the Clippers in 2019, had agreed to a trade to bring him back, but the deal was pending the investigation's outcome. Leonard expressed his desire to return to Toronto and focus on the game.
NBA Commissioner Adam Silver expressed deep disappointment over the flagrant violations and institutional failures. The law firm conducting the investigation continues to receive information, leaving open the possibility of further action. Leonard, a two-time Finals MVP, averaged 27.9 points last season for the Clippers.
Source: www.aljazeera.com