Clippers Fined $30M & Lose Major Draft Picks For Breaking Salary Cap Rules, NBA Fans Shocked

According to ESPN's Shams Charania, the NBA confirmed that after a year-long investigation, both parties were found guilty of violating the league's circumvention rules under the CBA.

Clippers Fined $30M & Lose Major Draft Picks For Breaking Salary Cap Rules, NBA Fans Shocked
Los Angeles Clippers v Portland Trail Blazers
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The NBA’s investigation into Kawhi Leonard and the Los Angeles Clippers’ alleged salary cap violations has wrapped up, and both parties have been hit with hefty repercussions.

According to ESPN’s Shams Charania, the NBA confirmed that after a year-long investigation, both parties were found guilty of violating the league’s circumvention rules under the CBA.

The Clippers will fine owner Steve Ballmer $30 million. He’ll also be suspended alongside president of basketball operations Lawrence Frank and president of business operations Gillian Zucker. Ballmer receives the longest suspension, 1 year, and can’t participate in any league and team activities.

The team will also have to forfeit five first-round draft picks for the 2029, 2030, 2031, 2032, and 2033 NBA drafts.

Leonard will have to pay $700,000 in restitution after receiving “improper benefits” from the Clippers because of his uncle and business manager, Dennis Robertson.

“The investigation found a pattern of misconduct and multiple significant rules violations by the Clippers organization, a prior offender of the salary cap circumvention rules,” writes the NBA’s Public Relations arm.

The league enlisted Wachtell Lipton, which discovered the following wrongdoings:

● Affirmatively initiating off-court income opportunities between Mr. Leonard and four companies doing business with the team: Aspiration Partners, Boingo Wireless, Daktronics, and Lockton Insurance;

● Facilitating endorsement agreements between these companies and Mr. Leonard

● Inducing the companies to enter into these agreements by offering them business from the team

● Paying personal expenses on behalf of Mr. Leonard and his representatives

● Failing to report improper solicitations for off-court income opportunities made on Mr. Leonard’s behalf through his then-business manager, Dennis Robertson.

You can read the entire report here.

NBA Commissioner Adam Silver released a statement on the now-resolved matter, saying he is saddened by the scheme and the attempt to get one over on the league and fans.

“The NBA’s collectively bargained system for determining player compensation is a fundamental component of the basketball competition that the league oversees for the benefit of the teams and players and ultimately the fans. I am deeply disappointed by the flagrant violations of our rules and by the Clippers’ institutional and leadership failures that led to this misconduct. The severity of the penalties reflects the seriousness of the violations.”

The investigation began last summer when Pablo Torre discovered that the Clippers had business dealings with a company called Aspiration, which happened to have a multi-million-dollar endorsement contract with Kawhi Leonard. However, there was no record of him promoting the company, and it was effectively deemed a no-show job and just a way for the Clippers to give him more money than allowed.

See social media’s reaction to the punishment below.