The National Basketball Association levied a $30 million fine against the Los Angeles Clippers and stripped the franchise of five first-round draft picks after an investigation found violations of salary cap circumvention rules involving forward Kawhi Leonard.
The penalties include the forfeiture of first-round selections in the 2029 through 2033 NBA Drafts, a five-year compliance monitoring program for the organization, and a $700,000 fine for Leonard. The league also suspended Clippers owner Steve Ballmer for one year from all NBA and team activities for approving impermissible endorsement arrangements that served as a precondition for an Aspiration Partners deal.
Clippers President of Business Operations Gillian Zucker received a one-year suspension without pay for her role in facilitating the improper arrangements and providing false statements to investigators. President of Basketball Operations Lawrence Frank was suspended for six months without pay for approving expenses related to the violations. Leonard’s former business manager, Dennis Robertson, received a five-year ban from conducting business with NBA teams and their affiliates.
The infractions stemmed from an independent investigation into off-court income opportunities between Leonard and four partner companies: Aspiration Partners, Boingo Wireless, Daktronics, and Lockton Insurance. The inquiry found the Clippers organization initiated the deals, induced participation by offering team business, and paid personal expenses on behalf of Leonard and his representatives. The league also cited the team’s failure to report improper solicitations routed through Robertson and Leonard’s role in pressuring the franchise to assist in securing off-court income.
NBA Commissioner Adam Silver stated the penalties reflect the severity of the violations, emphasizing the importance of the collectively bargained compensation system. The league’s decision follows a comprehensive review conducted by Wachtell, Lipton, Rosen & Katz.
