The Los Angeles Clippers are under an NBA investigation for allegedly paying Kawhi Leonard through third-party sponsorships to bypass the salary cap. This probe, ongoing for 11 months, threatens to overshadow the team's upcoming season, which follows a playoff exit where they lost to the Denver Nuggets 120-101 on 2025-05-03. The team's recent form of 2 wins and 3 losses in their last five games, including two consecutive losses, adds pressure as this off-court drama unfolds.
What is the NBA investigating?
The league is examining whether Clippers owner Steve Ballmer funneled extra money to star forward Kawhi Leonard through corporate sponsorships. The primary focus is on green banking company Aspiration, which signed a $300 million deal with the Clippers in 2021 and a separate $28 million deal with Leonard in 2022. An ESPN report cited an employee claiming this arrangement was designed to "circumvent the salary cap."
NBA Commissioner Adam Silver wants the issue resolved before the 2026-27 season tips off. The investigation has already delayed a major trade that would send Leonard back to the Toronto Raptors. That deal, announced two months ago, remains in limbo until the league reaches a conclusion.
Why does this matter for the Los Angeles Clippers?
This investigation creates massive instability for the franchise. Potential penalties could be severe, impacting the team's financial flexibility and competitive future. For a team looking to build around its core, this is a significant distraction.
Kawhi Leonard's own future is directly tied to the outcome. The unresolved trade and the cloud of the probe affect roster planning and chemistry. Fans hoping for a fresh start after a tough end to last season, where they lost their final two games, are left waiting. You can track the team's progress and upcoming challenges on our [fixtures](/fixtures) page.
What is the latest update on the probe?
According to a recent ESPN report, the NBA has found no direct evidence yet that money was funneled to Leonard through these sponsorships. However, the investigation has shifted. The league is now looking into whether the Clippers are guilty of "failing to supervise" employees.
It's unclear what specific rule the Clippers may have broken or what the penalties would be. The report also mentions at least three other companies that might have been involved. Steve Ballmer has stated he considers this a serious issue and would want any cap circumvention investigated.
What happens next for the Clippers?
The immediate next step is waiting for the NBA's final ruling. Commissioner Silver's deadline of the season's start adds urgency. The resolution will finally allow the Kawhi Leonard trade to be completed or voided, giving the Clippers clarity on their roster and assets.
Until then, the team operates under a dark cloud. Planning for the 2026-27 season is hampered, and the focus is split between basketball and legal matters. The Clippers must hope for a swift conclusion so they can concentrate on improving from their recent 2W-3L form and making a deeper playoff run.
