The NBA launched a formal investigation into whether an endorsement deal LA Clippers star Kawhi Leonard made with bankrupt “green bank” Aspiration was used to help the team and its billionaire owner, Steve Ballmer, skirt the league’s salary cap.
At the center of the case is a four-year, $28 million deal Leonard signed with Aspiration in 2022, as well as a separate $20 million stock arrangement tied to company co-founder Joe Sanberg, who has since pleaded guilty to defrauding investors. Former employees of the now-bankrupt firm told the Pablo Torre Finds Out podcast that Leonard’s contract was effectively a “no-show job” designed to funnel money to the player outside of official team payrolls.
Ballmer, the NBA’s wealthiest owner with an estimated net worth of $153 billion, invested $50 million in Aspiration in 2021 and arranged a jersey sponsorship worth $300 million over 23 years. While Ballmer has admitted to introducing Leonard to Aspiration executives, he has denied any involvement in the endorsement agreement.
The situation has drawn attention in part because of Leonard’s history with off-court demands in free agency and his decision to sign a below-max extension in January 2024 — a move that gave the Clippers extra roster flexibility. If the NBA concludes that the Clippers circumvented salary cap rules, punishments could be steep. Under the league’s collective bargaining agreement, penalties can include multimillion-dollar fines, the forfeiture of draft picks, suspensions, and even the voiding of a player’s contract.
