NBA Penalizes Clippers Owner and Team Over Salary Cap Violations
The NBA has suspended Los Angeles Clippers owner Steve Ballmer for one year and fined the team $30 million due to illegal salary cap circumvention. Additionally, the Clippers will forfeit five first-round draft picks as a result of the investigation.
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The NBA has fined the Los Angeles Clippers $30 million and stripped the team of five first-round draft picks from 2029 to 2033 due to violations of salary cap circumvention rules involving Kawhi Leonard, who has also been fined $700,000. The investigation revealed that the Clippers engaged in misconduct by introducing Leonard to sponsors for off-court income opportunities and covering personal expenses for him and his representatives, including a $28 million endorsement deal with Aspiration Partners. Additionally, owner Steve Ballmer and two executives received suspensions for their roles in the violations while the team disputes the findings and intends to challenge the penalties.
Los Angeles Clippers owner Steve Ballmer was suspended for one year, and the team was fined $30 million and ordered to forfeit five first-round draft picks due to salary cap circumvention involving forward Kawhi Leonard, who faced a $700,000 penalty. The investigation, initiated in September 2025, revealed a $28 million endorsement contract that violated league rules, linked to Leonard's former business manager who was implicated in a separate fraud case. The Clippers have rejected the findings, claiming bias in the investigation, and intend to challenge the penalties vigorously.
The LA Clippers have been fined a record $30 million by the NBA for violating salary rules to secure off-court income for star player Kawhi Leonard, who also received a $700,000 fine. The team will forfeit five first-round draft picks from 2029 to 2033, and owner Steve Ballmer has been suspended for 12 months due to his involvement in the violations. Following an investigation, the NBA expressed disappointment over the repeated misconduct and will implement a five-year compliance program for the Clippers organization.
The NBA has penalized the Los Angeles Clippers by docking them five first-round draft picks, imposing a $30 million fine, and suspending owner Steve Ballmer for a year due to salary cap violations related to Kawhi Leonard's signing. Additionally, the league handed out suspensions without pay to president of basketball operations Lawrence Frank for six months and president of business operations Gillian Zucker for one year, while Leonard himself was fined $700,000. The investigation uncovered a scheme involving a $28 million agreement where Leonard was allegedly paid for a non-existent role to bypass salary cap restrictions, leading the Clippers to contest the findings vehemently.