Kawhi Leonard and Clippers’ Alleged Salary Cap Circumvention Under Investigation

LOS ANGELES — NBA star Kawhi Leonard and the Los Angeles Clippers are under investigation for allegedly circumventing the league’s salary cap rules.

Reports indicate that both Leonard and the Clippers may have conspired to structure an endorsement deal that allowed Leonard to receive additional financial benefits without violating salary cap restrictions. The investigation includes claims of a secret agreement involving Leonard’s company, KL2 Aspire LLC, and the now-defunct tree-planting firm Aspiration.

After leading the Toronto Raptors to the 2019 NBA Championship, Leonard entered free agency, attracting attention from multiple teams, including the Clippers. At that time, his uncle and advisor, Dennis Robertson, sought significant benefits beyond just a basketball contract.

Journalist Pablo Torre uncovered details suggesting that Leonard and his representatives negotiated for ownership stakes and various sponsorship deals, which contributed to an alleged $48 million scheme designed to benefit Leonard financially.

Clippers owner Steve Ballmer publicly denied any knowledge of the alleged wrongdoing, stating in a September interview with ESPN, “I don’t know why they did what they did. And frankly, any speculation would be crazy.” He maintained that Leonard was not introduced to Aspiration until after the negotiations were purportedly completed.

Recent reporting revealed a $1.75 million payment made to KL2 Aspire LLC, corroborating claims that the Clippers and Aspiration worked together. NBA Commissioner Adam Silver emphasized the seriousness of the investigation, warning that severe penalties could follow if any violations are confirmed.

Leonard has dismissed the reports, labeling them as ‘conspiracies’ and stating he still expects to be compensated by Aspiration, which filed for bankruptcy in March 2025. Meanwhile, Aspiration’s co-founder Joe Sanberg pled guilty to fraud charges related to the company’s financial mismanagement.

Aspiration’s bankruptcy revealed that Leonard was listed as one of the creditors, with the firm allegedly owing him $7 million. The NBA’s investigation is ongoing as they work to resolve these complex allegations before the All-Star Game scheduled for February 15, 2026.