The NBA has dropped historic sanctions on the Los Angeles Clippers, owner Steve Ballmer, and star forward Kawhi Leonard for violating the league's collective bargaining agreement. The penalties, announced Wednesday, include the Clippers forfeiting five first-round draft picks and Ballmer being suspended from all team activities for a year. This news lands as the team's recent form shows struggles, having lost their last two games, including a 120-101 defeat to the Denver Nuggets on May 3, 2025. LA Times Sports first reported the story.
What did the NBA investigation find?
The league's investigation, conducted by the New York law firm Wachtell Lipton Rosen & Katz, determined the Clippers organization broke rules to create off-court income for Kawhi Leonard. The report states the team initiated endorsement deals between Leonard and four companies doing business with the Clippers: Aspiration Partners, Boingo Wireless, Daktronics and Lockton Insurance.
Steve Ballmer and team executives help these agreements at the behest of Leonard's uncle and then-business manager, Dennis Robertson. The investigation found Leonard received $66 million in endorsement pay from the four companies. Ballmer personally invested $60 million in Aspiration, while three other companies got $22 million from the Clippers in consulting fees.
What are the specific penalties for the Los Angeles Clippers?
The NBA issued a sweeping set of punishments. The Clippers franchise is fined $30 million and must forfeit its first-round picks in the 2029, 2030, 2031, 2032 and 2033 NBA drafts. The organization is also subject to a five-year compliance and monitoring program overseen by the league office.
Steve Ballmer is suspended for one year for knowingly helping Leonard obtain the off-court opportunities. Clippers president of business operations Gillian Zucker is suspended without pay for a year for her direct role and for providing false statements. Basketball operations president Lawrence Frank gets a six-month unpaid suspension.
Kawhi Leonard is required to pay the league $700,000. Dennis Robertson is banned from any business with NBA teams.
How have the Clippers and Kawhi Leonard responded?
The Clippers organization issued a firm statement rejecting the NBA's findings. "We vehemently reject the NBA’s findings," the team said, vowing to challenge the penalties. This sets the stage for a potential legal battle that could drag on.
Kawhi Leonard also released his own statement. The seven-time All-NBA forward claimed he had no direct knowledge of the alleged violations that led to this massive punishment. His future, and the team's ability to build a contender, now faces serious questions.
What comes next for the franchise?
The immediate future is clouded by uncertainty and a depleted asset pool. Losing five consecutive first-round picks is a devastating blow to long-term roster construction. It severely limits trade possibilities and the pipeline of young, cost-controlled talent.
With Ballmer suspended, day-to-day leadership will fall to other executives during a critical period. The team's recent form of two wins and three losses in its last five outings highlights on-court challenges that now have a major off-court distraction. Fans can track the team's upcoming schedule on our [fixtures](/fixtures) page.
The sanctions will test the depth and resilience of the entire basketball operations staff. They must navigate free agency and trades with far fewer tools at their disposal. How quickly the Clippers can move past this scandal and compete at a high level again is an open question.
