Allegations have emerged suggesting that Steve Ballmer, owner of the Clippers, and star player Kawhi Leonard, have bypassed the salary cap with a questionable $28 million marketing deal that involves no actual work.
A former employee from the finance department backed by Ballmer has gone bankrupt but recounted to Pablo Torre that staff were instructed to avoid inquiries regarding Leonard’s dealings, as it was said to be a method to sidestep salary cap restrictions.
In response to the claims, Ballmer and the Clippers denied any wrongdoing. They asserted in their statement to Torre that neither he nor the team engaged in tactics to evade the salary cap, labeling the accusations as entirely false.
The Clippers made headlines in July 2019 when they signed Leonard to a four-year, $141 million contract after he led the Raptors to an NBA championship.
During discussions, Torre expressed interest in Leonard’s recruitment process. Notably, other teams—including the Lakers—were also vying for Leonard, but he opted for the Clippers, a franchise often scrutinized for their history of underperformance.
There are also concerns among some NBA insiders about Leonard’s uncle, Dennis Robertson, and his approach during negotiations. Reports suggest that Robertson may have sought undue advantages while courting Leonard. For instance, he reportedly asked officials for a stake in the team, which would guarantee support funds if Leonard signed with them.
Documentation alleged that he made these requests to Jeanie Buss, emphasizing the illegal nature of such perks. Despite similar inquiries made to the Raptors, an NBA investigation cleared the Ballmer-led franchise of any violations.
However, Torre’s findings indicate that the Clippers may have complied with some of these demands. He mentioned that, while the NBA didn’t detect any illegalities in the offers made to Leonard, there remains speculation over a celebrity-backed con associated with a deal from March 2025, hinting at potential misdeeds.
In March of this year, a company involved filed for Chapter 11 bankruptcy, with the Clippers as its largest creditor, owed over $30 million. This company had previously received significant investment, including $315 million from Ballmer’s affiliates, just before its financial decline.
Interestingly, Leonard is tied to KL2 Aspire LLC, another entity mentioned in the bankruptcy filings, which lists him as a manager. The approval agreement with this firm, initiated in April 2022, allowed Leonard to promote its interests while providing leeway for him to back out if the actions didn’t align with his values.
Some former employees expressed disbelief over the nature of this marketing transaction, suggesting it was a clear attempt to sidestep salary cap limitations. Yet, finding tangible proof of Leonard actively promoting the company has proven difficult, as Torre noted there hasn’t been much public acknowledgment from Leonard, unlike other celebrity endorsements.
Leonard extended his contract with the Clippers for four years in 2021 and is currently locked into another three-year agreement. The marketing deal began shortly after his re-signing and has been a topic of interest in discussions about the Clippers’ playoff attempts during his tenure.
Despite Leonard’s previous successes with the Spurs and Raptors, the Clippers have yet to make significant strides in the playoffs, only reaching the Western Conference finals once during his time.
Overall, the Clippers have participated in the postseason five times in six years, with the 2021-22 season being the only exception due to Leonard’s injury. However, they have faced elimination in the first round of playoffs for the last three years.
Currently, Leonard stands as a key player for the franchise, showcasing solid stats while contributing to the team’s ongoing challenges.
